Co-founder of Terraform Labs Pte., Do Kwon, may be facing extradition to the United States by the middle of March on charges of managing a cryptocurrency fraud scheme that was worth $40 billion, according to his legal representative.
At present, Kwon is undergoing detention in Montenegro due to his travels with a counterfeit passport. He is actively working towards postponing his trial, set to commence on January 29th, related to a Securities and Exchange Commission (SEC) lawsuit that is levying similar accusations against him and Terraform.
An official document filed late Thursday in a federal court in Manhattan revealed to the judge in charge of the SEC case that a deferral to mid-March may provide Kwon with a “realistic possibility” of being present for the event. Bloomberg Law reported these findings
Legal professionals closely observing the trajectory of Kwon’s case should note the direct implications that such legal actions could hold for the broader crypto industry.
As Kwon’s case unfolds, some important questions around regulation, law enforcement, and the rights of investors in crypto schemes will be answerable. These proceedings, in combination with regulatory changes, could significantly alter the way cryptos are traded, and businesses operated, thereby challenging the status quo in the context of global business law.