Terraform Labs co-founder Do Kwon pleaded not guilty in a Montenegrin court on Thursday to a charge of forging his passport and travel documents.
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Kwon’s hearing comes a month after Kwon and Chang-joon Han, Kwon’s former colleague, who also pleaded not guilty, were arrested at the airport in Podgorica, the capital of Montenegro, while trying to fly to Dubai. Their lawyer requested conditions for bail at €400,000 ($437,000) each and proposed house arrest in Montenegro. The next court hearing is set for June 16.
On May 7, 2022, Terraform Labs’ stablecoin TerraUSD (UST), an algorithmic stablecoin that worked with its sister coin, Luna, lost its $1 peg. The event wiped out approximately $40 billion in market value, collapsing an array of crypto firms.
A year after the crash, Kwon is now in jail in Montenegro and being investigated in the U.S. and South Korea. If Kwon is convicted of falsifying his documents, he may have to serve his prison sentence in Montenegro before being extradited to the U.S. or South Korea, the Montenegrin Justice Ministry said in March.
As a reminder of what happened to Terraform and founder Kwon over the past 12 months, we present the slow-motion disaster as it played out for the now five-year-old company, which launched its TerraUSD stablecoin and Luna in 2019 and then relocated its headquarters to Singapore in 2020:
May 2022
June 2022
September 2022
October 2022
December 2022
February 2023
March 2023
April 2023
May 2023
Source @TechCrunch
