US doj begins with an investigation against Terraform Labs (report)

US doj begins with an investigation against Terraform Labs (report)

reported that the US Justice Ministry (DOJ) initiated an investigation against Terraform Labs and its former employees to investigate what led to the collapse of the native tokens of the project-Luna-and its algorithmic stable coin.

The US stock exchange supervisory authority SEC accused the company and its co-founder-Do Kwon-recently staged a massive fraud and indicated that this could be the main factor for the disaster.

Us Doj comes to the club at

According to the reporting of the Wall Street Journal, the FBI and the Southern District of New York have started to ask former members of Terraform Labs to examine the reasons that triggered the Luna/VAT crash in May last year.

The US SEC Signed Preserver-Spaces = "True"> Charge against the Organization and its co-founder-Do Kwon in which they have committed a massive fraud by by You would have offered and sold not registered securities by using digital currencies. According to the agency, the program led to severe financial losses for institutional and private investors.

Terraform Labs also accused of having made false information that it was in a partnership with a leading Korean mobile payment. The Commission added that Kwon supposedly aimed to skim down customer funds and to use them later for personal advantage.

If the investigations initiated by the SEC and the doj are that the blockchain genitator and do Kwon are guilty, this could lead to prison terms for the South Korean developer and some of his former colleagues.

The Terra error was one of the darkest events of crypto in 2022. VAT, which should have a fixed rating of $ 1, dissolved from the dollar and fell well, which an infinite arbitrator bowl caused, which finally extinguished the value of VAT.

This made the range of natives excessive coin, and finally both assets lost their entire value within a few days. The downfall not only caused financial losses, but also Led to suicide.

looking for the alleged perpetrator

Numerous institutions and investors accused Do Kwon of being involved in the collapse and insisted on the fact that he should be brought to justice. The 31-year-old developer was reluctant to cooperate and allegedly hid in different places around the world, with Dubai, Singapore, Russia and Mauritius some of the possible locations.

Recent sources indicate that he is currently in Serbia. As cryptopotato registered A delegation of South Korean authorities came in the Balkannation last month to search for Kwon (which is also being fired by Interpol).

Interestingly, he praised to reveal his place of residence in November 2022 and even invited to take part in the event. Kwon has still not provided the promised data and kept covered on Twitter by not posting anything for several months.

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