Do Kwon allegedly withdraws $2.15m in stablecoins

After being granted bail by a court in Montenegro, Terra co-founder Do Kwon reportedly removed digital assets worth around 2.8 billion won ($2.15 million), according to several reports from South Korean media agencies.

KBS News reported on May 18 that Do Kwon reportedly take $400,000 worth of stablecoins and $150,000 worth of Terra Classic (LUNC) tokens from wallets thought to be under his control.

Do Kwon and the ex-CFO Han Chang-joon were released on bond by a Montenegrin court on May 12, but they remain under house arrest while the passport forgery case and the following extradition process play out in court. It’s worth noting that the cash withdrawals occurred before the bail hearing.

The prosecutor’s office in Montenegro has challenged the court’s decision to allow Do Kwon bail, citing fears that he may abscond. They say the bail sum is much less than their assets are worth. 

Prosecutors in South Korea seek to freeze Do Kwon’s and the other defendants’ assets as his trial approaches. So far, $175,000,000 worth of assets and high-end goods have been frozen. One of Do Kwon’s subordinates allegedly orchestrated the latest cash withdrawals.

Meanwhile, Terra’s creator, Terraform Labs, completed significant token transfers.

They sent 100 Convex Finance (CVX) tokens to an unknown wallet account and a large sum of $8.7 million CVX tokens to the same address. Convex CRV (cvxCRV) tokens, valued at $26,500 as of Etherscan, remain in the wallet even if it no longer includes CVX tokens.

In addition, it was discovered that Do Kwon still had millions of dollars in a Swiss bank account. After months on the run, he was apprehended in Montenegro and is now being sought by both South Korea and the United States for extradition.

At the same time, prosecutors in South Korea are looking into the Terra-LUNA situation and preparing for the prosecution of co-founder Daniel Shin.