South Korean Prosecutors Raid Terraform Labs Co-Founder’s Home – Regulation Bitcoin News

A team of South Korean prosecutors recently raided the home of Terraform Labs co-founder Shin Hyun-seong. In an earlier raid that targeted 15 locations, including seven cryptocurrency exchanges, prosecutors allegedly secured terra transaction data.

Seven targeted cryptocurrency exchanges

South Korean prosecutors are investigating the spectacular collapse of Terra cryptocurrency LUNA reportedly raided the home of Terraform Labs co-founder Shin Hyun-seong on July 22. were also targeted by the Seoul Prosecutors’ Joint Financial Crimes Investigation Team.

During the searches and seizures, which also targeted Tchai Corporation, where Hyun-seong was CEO, prosecutors allegedly secured LUNA’s transaction data. According to reportother companies targeted by prosecutors include Kernel Labs, a subsidiary of Terraform Labs, and Flexi Corporation where Kwon is listed as a director.

Fraud allegations

Following the fall of the UST stablecoin and the LUNA cryptocurrency, South Korean authorities have sought to impose a stricter regulatory framework for cryptocurrencies.

Likewise, industry players such as cryptocurrency exchanges announcement in June, which plans to create a body to prevent another collapse, similar to the Terra LUNA crash, was now on the cards.

Meanwhile, according to the Chosun Biz report in Korean, prosecutors’ raids on individuals as well as companies associated with Kwon were sparked by disgruntled LUNA investors who raised allegations of fraud in their lawsuits against the CEO.

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Terence Zimwara

Terence Zimwara is an award-winning journalist, author and writer in Zimbabwe. He has written extensively on the economic problems of some African countries as well as how digital currencies can provide Africans with an escape route.