Terraforms Labs and Do Kwon Facing Legal Troubles: Selling Bitcoin to Raise Funds?
In recent months, Do Kwon and his company Terraforms Labs (TFL) have been moving significant amounts of Bitcoin and other cryptocurrencies, leading to speculation about their intentions.
- Do Kwon’s associates have been selling BTC connected to Luna Foundation Guard, with 239 BTC transferred out of a total of 5,292 BTC.
- Terraform Labs also moved 1.8 million Convex Finance (CVX) tokens worth $8.7 million.
- 10,000 BTC was moved from a cold wallet to crypto bank Sygnum, with millions of dollars already cashed out.
These transfers have become more frequent following Do Kwon’s arrest in Montenegro. They are happening amidst a court battle between the SEC and Terraform Labs, with lawyers filing a motion to dismiss the lawsuit.
- The motion references a previous ruling in the SEC v. Ripple Labs case but was dismissed by Judge Rakoff.
- Do Kwon was sentenced to four months in prison for using a forged passport.
- Extradition efforts by the US and South Korea might be complicated due to the lack of extradition treaties with Montenegro.
In conclusion, Do Kwon’s actions raise questions about his intentions and the need for funds, potentially for legal defense. The ongoing court battle and potential extradition proceedings add further uncertainty to the situation.
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