• Swiss Prosecutors have frozen $26 million in cryptocurrencies and US dollars tied to Terraform Labs’ co-founder – Do Kwon, and some of his associates.
• The frozen assets were stored at Sygnum Bank at the request of the New York Federal Prosecutors Office and the Securities and Exchange Commission (SEC).
• The SEC claimed earlier this year that Kwon cashed out over $100 million worth of BTC using a Swiss banking institution.
Swiss Prosecutors Freeze Funds Linked to Do Kwon
Swiss prosecutors have reportedly frozen $26 million in cryptocurrencies and US dollars tied to Terraform Labs’ co-founder – Do Kwon, and some of his associates. The funds supposedly belonged to Do Kwon, Chang-joon Han, Nicholas Platias, and TFL corporation.
Assets Stored at Sygnum Bank
The former crypto mogul purportedly stored those assets at Sygnum Bank – a financial institution based in Switzerland and Singapore that enables customers to invest in digital currencies. The move comes after the New York Federal Prosecutors Office and the Securities and Exchange Commission (SEC) requested that these funds be seized from Sygnum Bank.
US SEC Claims Kwon Cashed Out 10,000 BTC
The US SEC claimed earlier this year that Kwon cashed out over $100 million worth of BTC in the months after the infamous crash using a Swiss banking institution. Many suggested that Sygnum Bank was that entity. It is now known for certain that he used their services to cash out 10,000 Bitcoin following LUNA/UST’s collapse in 2022.
Do Kwon Sentenced To Prison
This news follows an announcement from April 2021 when it was revealed that Do Kwon had been sentenced to 8 years in prison for his involvement in a fraud scheme involving the sale of unregistered securities related to cryptocurrency investment firm TFL Corporation. He was also ordered by authorities to pay back more than $50 million as a part of his sentence agreement.
Conclusion
Do Kwon has faced numerous legal issues related to his involvement with TFL Corporation since it collapsed in 2022 due to mismanagement. With Swiss prosecutors now freezing more than $26 million worth of funds linked to him as well as other individuals connected with TFL Corporation, it remains unclear what will happen next for all involved parties involved will face going forward