Bitget App
Trade smarter
Buy cryptoMarketsTradeFuturesCopyBotsEarn
US Government Estimates Do Kwon’s Victim Count Potentially Exceeding 1,000,000 People

US Government Estimates Do Kwon’s Victim Count Potentially Exceeding 1,000,000 People

Daily HodlDaily Hodl2025/01/07 16:00
By:by Conor Devitt

Do Kwon’s alleged schemes could have impacted more than 1 million victims worldwide, according to US prosecutors.

US authorities extradited Kwon, the disgraced co-founder of the Terra (LUNA) ecosystem, late last month.

Kwon faces fraud charges related to the multibillion-dollar downfall of Terra in 2022.

In a recently submitted court document , prosecutors argue that Kwon’s “constructed financial world” was propped up on “lies and manipulative and deceptive techniques used to mislead investors, users, business partners, and government regulators.”

They also outline the massive scope of Kwon’s alleged fraud.

“Ultimately, investors suffered over $40 billion in losses as a result of Kwon’s fraud. The victims in this case include, among others, individuals and entities in both the United States and abroad who purchased Terraform’s cryptocurrencies directly from Terraform or from third parties, including through cryptocurrency exchanges based in the United States and in other countries.

While it is difficult to precisely quantify the number of Kwon’s victims in light of the sheer number of purchases and sales of Terraform’s cryptocurrencies and the manner of those transactions (with many transactions in those assets occurring on foreign exchanges and through digital asset wallet or crypto trading accounts without personal identifying information), the Government estimates that the number of victims in this case exceeds hundreds of thousands of individuals and entities, and potentially totals more than one million.”

Kwon was initially arrested by authorities in Montenegro in 2023 after he was caught attempting to board a flight to the United Arab Emirates (UAE) with a forged Costa Rican passport.

After the Terra founder’s arrest, both the United States and South Korea wanted to extradite him. The highest court in Montenegro ruled in favor of the US in December.

Don't Miss a Beat – Subscribe to get email alerts delivered directly to your inbox

Check Price Action

Follow us on X , Facebook and Telegram

Surf The Daily Hodl Mix

Generated Image: Midjourney

0

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

PoolX: Locked for new tokens.
APR up to 10%. Always on, always get airdrop.
Lock now!

You may also like

The Daily: ECB President Lagarde rejects bitcoin for Eurozone reserves while the Czech central bank considers it and more

European Central Bank President Christine Lagarde said bitcoin is not an option as a reserve asset for the Eurozone’s central bank reserves, citing liquidity, security and regulatory concerns.Meanwhile, the Czech National Bank approved a proposal from Governor Aleš Michl to assess diversifying some of its country’s reserves into bitcoin.

The Block2025/01/30 21:34

'Inevitable collapse': Trump’s crypto push sparks concern at Paul Singer's Elliott Management: FT

The hedge fund said in a new investor letter that the “inevitable collapse” of the crypto bubble “could wreak havoc,” according to the Financial Times.Elliott’s Paul Singer has never been a fan of crypto, telling WSJ in 2023 that cryptocurrencies are “completely lacking in any value.”

The Block2025/01/30 21:34