South Korea Freezes $104 Million in Assets Belonging to Terra Co-Founder

South Korea’s prosecutors person reportedly obtained a tribunal bid to frost assets worthy astir $104 cardinal belonging to Terraform Labs co-founder Daniel Shin. The authorities allege that helium unfairly profited from selling cryptocurrency LUNA astatine precocious prices earlier the token crashed. Shin has denied the allegation.

South Korean Authorities Freeze Terraform Labs Co-Founder’s Assets

The Seoul Southern District Court reportedly approved section prosecutors’ petition Thursday to frost astir 140 cardinal won ($104 million) successful assets belonging to Terraform Labs co-founder Shin Hyun-seung, aka Daniel Shin. The pre-indictment frost bid is simply a precautionary measurement to forestall a fishy from disposing of transgression proceeds earlier a trial.

The prosecutors person accused the Terra co-founder of making “unfair” profits of astir 140 cardinal Korean won by selling pre-issued cryptocurrency LUNA, present known arsenic luna classical (LUNC), without due disclosure to investors. However, Shin reportedly told the prosecutors Thursday that helium did not merchantability the crypto astatine its highest terms earlier the token crashed.

Hwang Suk-jin, prof of accusation information astatine Dongguk University and a regular talker connected crypto argumentation astatine South Korea’s National Assembly, was quoted by Forkast arsenic saying:

It’s a occupation with pre-mining. It’s due to the fact that they did not marque due disclosure successful issuing the tokens.

The prof added that for example, if investors “thought 1,000 tokens person been issued and successful information 10,000 person been issued, investors inevitably endure losses.”

Shin and Chai corp., a section payments tech institution helium founded, are presently nether probe for allegedly utilizing lawsuit accusation without consent successful launching Chai’s Terra outgo services. The payments institution was reportedly raided by section authorities connected Thursday.

South Korean prosecutors person besides been investigating the illness of LUNA since May and person issued an arrest warrant for Kwon Do-Hyung, aka Do Kwon, who co-founded Terraform Labs with Shin. Interpol has besides issued a Red Notice for him. Last month, South Korean authorities said they person frozen crypto assets belonging to Kwon. However, Kwon denied that the frozen coins were his.

What bash you deliberation astir South Korea freezing the assets of the Terraform Labs co-founder? Let america cognize successful the comments conception below.

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