Interpol Issues Red Notice for Terra Founder Do Kwon Amid Global Manhunt

Global Manhunt for Terra Founder Do Kwon

Interpol has issued a Red Notice for Do Kwon, the founder of Terraform Labs, as part of an ongoing global manhunt. This move by the international criminal police organization signals a serious escalation in the legal actions against Kwon, who faces multiple charges related to the collapse of Terra's LUNA and UST cryptocurrencies.

Background on the Red Notice

A Red Notice is a high-level alert issued by Interpol to law enforcement agencies worldwide. It requests the location, provisional arrest, and extradition of individuals wanted for serious crimes. This notice is typically reserved for fugitives who are either evading prosecution or have failed to comply with legal obligations.

Charges Against Do Kwon

Korean prosecutors have accused Kwon and five others of violating capital markets laws. Authorities initially revoked Kwon's passport in an effort to compel his return to South Korea. Prosecutors also claim to have "circumstantial evidence of escape," suggesting Kwon may be attempting to evade justice.

Kwon’s Response to Allegations

Do Kwon has denied the allegations via social media, stating that he is not on the run and is cooperating with authorities. However, South Korean prosecutors have dismissed his claims, asserting that his actions clearly indicate an attempt to flee and avoid legal proceedings.

Implications for Cryptocurrency Regulations

The issuance of the Red Notice highlights the growing scrutiny of cryptocurrency founders and the regulatory challenges facing the industry. As governments worldwide tighten regulations, the case of Do Kwon serves as a reminder of the legal risks associated with digital asset markets.

The situation continues to unfold, with global authorities working to bring Kwon to justice. This development underscores the importance of compliance and transparency in the cryptocurrency space.