Terraform founder Do Kwon is set to be extradited to the United States, as confirmed by Montenegrin Justice Minister Bojan Božović. Kwon has been at the center of a legal battle between the U.S. and South Korea regarding his involvement in the collapse of the Terra/Luna system in 2022, which had far-reaching consequences within the cryptocurrency world.
After being arrested in Montenegro in March 2023 for passport forgery charges, Kwon has been fighting against his extradition to the U.S. for over a year. However, various courts in Montenegro have ruled in favor of the U.S. or South Korea taking custody of the former crypto executive. The recent decision by the Montenegrin Supreme Court paved the way for Kwon’s extradition to the U.S.
In a statement released on Friday, Božović explained that the Ministry of Justice carefully considered all the facts and circumstances surrounding the case before reaching a decision. Factors such as the severity of the criminal acts, the location of the crimes, the order of extradition requests, Kwon’s citizenship, and the possibility of further extradition to another country were taken into account.
The U.S. bid for Kwon’s extradition met all the necessary criteria, leading to the final decision by the Montenegrin government. This announcement comes after a series of conflicting court rulings, with the Appellate Court of Montenegro previously ruling in favor of sending Kwon to South Korea.
Meanwhile, legal repercussions for Terra are also unfolding in the U.S. The Securities and Exchange Commission recently announced a settlement with Tai Mo Shan, a subsidiary of Jump Crypto, over allegations of selling LUNA as a security. As part of the settlement, Tai Mo Shan will pay $123 million to resolve the charges.
The extradition of Do Kwon marks a significant development in the ongoing legal saga surrounding the collapse of the Terra/Luna system. The decision underscores the international cooperation required to address complex financial crimes in the rapidly evolving cryptocurrency industry.