South Korean prosecutors have asked Interpol to issue one red notice for Do Kwon, the cofounder of the Earth-Moon cryptocurrency, which collapsed last May and caused a $ 40 billion hole. The Seoul South District Prosecutor’s Office said it had asked the Seoul Foreign Ministry to cancel Kwon’s South Korean passport as “obviously on the run and unwilling to go to the authorities for questioning”.
Kwon is at the center of the biggest collapse ever recorded by a company active in the cryptocurrency sector. Its Terra Luna stablecoin, which anchored its value to a complex calculation ratio between two parallel cryptocurrencies, began to decline in value last April, thanks to the collapse of the crypto market. But the never-ending spiral of its collapse has resulted in tens of thousands of crypto holders losing everything.
Who is Do Kwon
30-year-old from Seoul, she was a semi-deity of the crypto world. But the collapse of his company triggered an earthquake in the industry. Five investors sued him for fraud and $ 1.1 million in damages. There were large venture capital investors in the Earth-Moon galaxy, such as Galaxi Digital or Changpeng Zhao, said CZ, founder of the world‘s largest crypto platform, Binance, which saw his personal investment in Luna plummet by 1.6 billion. for less than $ 2,500.
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What is the Interpol red notice
The ‘red notice’ is a request to law enforcement agencies around the world to “locate and temporarily arrest a person awaiting extradition,” according to Interpol. However, it is not an international arrest warrant. They are issued for fugitives wanted to be prosecuted or to serve a sentence. Kwon said through his lawyer that he is not on the run, but does not want to respond to the summons at the moment. But the judges who disbanded Terraform Labs continue to hunt him down. “He is clearly on the run,” they told Asian news agencies.
“We have initiated the process of placing him on Interpol’s red list and revoking his passport,” said the prosecutor’s office, adding that Kwon did not cooperate in the investigation into the bankruptcy of his company.
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Meanwhile, Bitcoin continues to lose ground and is now trading at $ 18,400, down 17% over the past seven days. While Ethreum, the second-largest cryptocurrency by capitalization, drops to $ 1,295, down 26% since the day of Merge, the change at the heart of the transaction validation mechanism that created a lot of expectations last week.