Crypto Fugitive Do Kwon Arrested in Montenegro After $40B Crash

Do Kwon, the founder of Terraform Labs, has been arrested in Montenegro in connection with a $40 billion crash of the firm's cryptocurrency. Kwon is wanted in the US and South Korea on fraud charges, including conspiracy to defraud and engage in market manipulation, wire fraud, commodities fraud, and securities fraud. Kwon and another man were arrested at Montenegro's Podgorica Airport while trying to depart for Dubai using fake Costa Rican passports. The stablecoin, TerraUSD, was designed to be pegged to the US dollar, but its value plunged below $1 in May 2022, erasing around $40 billion in market value for its holders.