South Korean Prosecutors Seize $347 Million in Assets Linked to Terra and Luna Crypto Fraud
South Korean authorities have intensified their efforts to crack down on a crypto fraud scandal involving Terra and Luna. In the latest developments, prosecutors have seized assets worth KRW 414.5 billion (approximately $347 million) from the management team of Terra, including Do Kwon’s alleged involvement of KRW 69 billion (approximately $57 million).
Prosecutors have requested Binance to stop Do Kwon from withdrawing cryptocurrencies, as he allegedly planned to exchange a significant portion of his property for Bitcoin and transfer it to exchanges. The authorities have also put a freeze on Do Kwon’s domestic properties, including apartments in Seoul and land in Gyeonggi Province, Hwaseong, and Taean.
While the other members of the Terra management team face asset freezes, Do Kwon’s situation is reportedly different. Prosecutors have not found any assets that can be seized from him, as he allegedly transferred a significant portion of his assets to overseas exchanges in the form of Bitcoin.
The crypto fraud scandal involving Terra and Luna has been making headlines since last year. Prosecutors have accused the management team of fraudulently raising funds from investors by promoting their digital currencies as an alternative to stablecoins. The team allegedly misrepresented the assets backing the digital currencies and exaggerated their expected returns, which led to massive losses for investors.
This incident serves as a reminder to investors to exercise caution when investing in digital currencies and to thoroughly research the project before investing. South Korean authorities have been cracking down on crypto-related fraud cases, and the Terra and Luna scandal is one of the latest cases. The authorities are expected to continue their efforts to bring justice to those affected by the alleged fraud.
