First Person Gets Arrested In Terra Collapse, Is Do Kwon Next ?
The post First Person Gets Arrested In Terra Collapse, Is Do Kwon Next ? appeared first on Coinpedia Fintech News
It’s been more than four months since Terra (LUNA) collapsed and amidst all the investigations by the South Korean officials and the founder Do Kwon on a run, the country’s police have reportedly arrested the first person involved with the collapse.
Yoo Mo, the lead business head of Terraform Labs is the first person who has been arrested in the case today, October 6, 2022. On Oct 5, the Seoul Southern District Prosecutors’ Office raised an arrest warrant accusing him for the violation of Capital Markets Act and fraud committed where he manipulated TerraUSD (UST) price, which is now TerraUSD Classic (USTC).
The actual arrest warrant was issued back in September as Yoo Mo is accused of being involved in the first circle of Do Kwon. Immediately, on September 26, the Interpol had a Red Notice against Do Kwon which is applicable worldwide.
After Terra network collapsed in May, there was a havoc in the crypto market which forced market participants to lose trust in cryptocurrencies. Now, with a new chain, Terra classic (LUNC) and its stablecoin, TerraUSD Classic (USTC) the community is thriving to win back the trust which involves various strategies and one such include tax burn.
District prosecutor Choi Sung-kook has confirmed the arrest, but he did not reveal the location and time of the arrest. The report claims that Yoo was involved in boting programmes to manipulate the trading of Terra cryptocurrency, hence tricking investors and their money.
The further details are awaited which is expected to be made public later today.
