Do Kwon, the mastermind behind Terraform, is set to be handed over to the United States, according to Bojan Božović, Montenegro’s Justice Minister. The announcement came last Friday and marks a significant turn in a saga that has stretched over more than a year.
Kwon has seen both the U.S. and South Korean governments clamoring for his extradition in connection to criminal charges arising from the 2022 collapse of the Terra/Luna algorithmic stablecoin system. This financial catastrophe triggered a domino effect, leading to a string of high-profile failures including that of FTX.
Arrested in Montenegro in March 2023, Kwon was initially charged with passport forgery and served a few months behind bars. Since then, he has been embroiled in a legal battle to resist his extradition to the U.S. Various courts within Montenegro have either favored extradition to the U.S. or South Korea, further complicating the fate of the former cryptocurrency executive.
Minister Božović, in his Friday proclamation, stated that his decision was guided by the nation’s Supreme Court. The court had determined that the prerequisites for sanctioning an extradition were in place.
The statement added, “Taking into account the Supreme Court’s judgment, the Ministry of Justice evaluated all facts and conditions. Factors such as the severity of the criminal acts, location of execution, order of the request submission, the nationality of the person in question, the potential for subsequent extradition to another nation, and other circumstances were all considered.”
The U.S.’s request fulfilled these stipulations, as indicated by the declaration.
This recent development is another chapter in the ongoing saga regarding Kwon’s extradition. In a previous ruling, the Appellate Court of Montenegro decided in August that Kwon should be extradited to South Korea.
Meanwhile, in the U.S., legal troubles continue to plague Terra. A week ago, the Securities and Exchange Commission settled charges with Tai Mo Shan, a subsidiary of Jump Crypto. The allegations were that Tai Mo Shan had sold LUNA as a security. As part of the settlement, the company agreed to pay a hefty sum of $123 million.
Note: This article is based on a statement from the Montenegrin government, which was translated into English.
