Two weeks after an arrest warrant was issued towards the Terraform Labs founder, Do Kwon, the crypto agency launched a press release accusing the South Korean prosecutors of overreaching their authority.
A spokesman for the corporate mentioned, “We believe that this case has become highly politicized, and that the actions of the Korean prosecutors demonstrate unfairness and a failure to uphold basic rights guaranteed under Korean law.”
The spokesman additionally mentioned that the crashed stablecoin Luna wasn’t legally a safety, which might imply that it isn’t coated by South Korea’s capital-markets regulation.
Currently, the situation of Do Kwon is unknown. He was beforehand recognized to have fled to Singapore.
The spokesperson mentioned, “Do Kwon’s location has been a private matter for months due to ongoing physical security risks to him and his family,” mentioning that there have been tried break-ins to Do Kwon residences in each South Korea and Singapore.
The South Korean authorities have beforehand mentioned that it might be affordable for Mr. Kwon to seem earlier than the prosecution as quickly as doable to “fully disclose his position and cooperate with the investigation.”
The Terraform Labs spokesperson additionally mentioned that the definition of a safety has been expanded in response to the general public strain after the crash of Luna and TerraUSD.
Do Kwon has since relaunched Luna as “Luna Classic” which in keeping with the spokesperson “is not, and has never been, a security, despite any changes in interpretation that Korean financial officials may have recently adopted.”
Compiled by Coinbold