Montenegro court okays crypto fugitive Do Kwon's extradition

▲ This file photo taken June 16, 2023, and provided by the Montenegro-based daily newspaper Vijesti shows South Korean crypto fugitive Do Kwon heading to the district court in Podgorica, the capital city of Montenegro, to attend his trial on charges of using a fake passport. (PHOTO NOT FOR SALE) (Yonhap)

crypto fugitive-extradition

Montenegro court okays crypto fugitive Do Kwon's extradition

SEOUL, Nov. 24 (Yonhap) -- A Montenegro court has granted the extradition of Do Kwon, the co-founder of the cryptocurrency firm Terraform Labs, to either South Korea or the United States.

Kwon, 32, who was behind cryptocurrencies that suffered a multibillion-dollar crash last year, was arrested in the capital city of Podgorica in March after months on the run with forged passports.

The Basic Court in Podgorica announced on its website Friday (local time) that the final decision on the extradition will be made by the Montenegrin justice minister after Kwon serves a four-month prison sentence in Montenegro for document forgery.

The disgraced entrepreneur had been on the run after fleeing South Korea while under investigation in connection with the crash of Terraform Labs' TerraUSD and Luna coins in May last year, estimated to have wiped out nearly 50 trillion won (US$38 billion) in market value.

South Korean prosecutors have since sought an arrest warrant for Kwon on allegations that include providing false information to investors and violating the capital market law.

Interpol also issued a red notice, used for the highest level of wanted suspects and criminals. His passport has since been invalidated.

Kwon is also wanted by the U.S., where he was charged with fraud by federal prosecutors in New York.

TerraUSD was designed as a stablecoin, pegged to stable assets like the U.S. dollar. However, holders of TerraUSD and Luna lost most of their assets after the stablecoin plunged far below its $1 peg.

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