Do Kwon, the co-founder of Terraform Labs, is on the verge of gaining temporary freedom as he awaits his trial. This development comes after a Montenegrin court approved a bail amount of €400,000 ($436,000), according to a report by Pobjeda, a local news agency.
Kwon’s arrest in Montenegro occurred in April, as he was charged with trying to depart from the country using a falsified passport. This incident marked a critical moment for the co-founder of Terraform Labs, a blockchain company recognized in the crypto space for creating the TerraUSD stablecoin, which is commonly referred to by its ticker symbol, UST.
However, Terraform Labs faced a significant setback last year when the value of TerraUSD plummeted dramatically. This sudden decrease in value led to an extensive loss for investors, with the collective loss amounting to tens of billions of dollars.
Following the court’s decision to accept Kwon’s bail, the prosecution now has a three-day period to appeal this decision. The upcoming days will reveal whether Kwon can temporarily leave detention while awaiting his trial. This case has gained substantial attention due to its potential implications on both Kwon’s personal situation and the future of Terraform Labs.
South Korean Government freezes Do Kwon’s assets worth $176 Million
Two days ago, the South District Court in Seoul, South Korea, approved a request to freeze Do Kwon’s assets and reportedly seized assets worth 233 billion won (approximately $176 million).
According to Seoul prosecutors, these assets were entirely acquired through illegal profits. There are also allegations that Kwon and Terraform provided services to unregistered financial securities.
With this news, it remains unknown what Do Kwon will do if he is released on bail today.
You can read the article about the previous news.