Following the arrest warrant for Do Kwon, 3313 Bitcoin were moved from LFG.
The deterioration of Terra and its resources was seen to everyone on earth. The situation has been tumultuous, starting with UST losing its peg and ending with Interpol issuing a red alert on the network’s creator Do Kwon. Now, it appears that the case took another turn and a significant sum of Bitcoin was involved.
According to allegations, Luna Foundation Guard [LFG] moved 3313 Bitcoins totaling more than $69 million to two cryptocurrency exchanges located outside of South Korea. This apparently took place immediately after Kwon’s arrest warrant was issued on September 14.
South Korean authorities finally succeeded in freezing part of the transferred Bitcoin after the ordeal. On September 15, the LFG suddenly launched a wallet on Binance, it was discovered. Soon after, 3313 BTC were sent to the wallets for Kucoin and OKX.
It was also disclosed that, starting on September 15, transactions totaling 1354 Bitcoin were conducted daily to Kucoin using the LFG account on Binance. OKX collected 1959 Bitcoin, or almost $39 million.
The Securities Crimes Joint Investigation Team, led by Director Dan Seong-han, and the Seoul Southern District Prosecutor’s Office, prosecutor Yang Seok-jo, have been in charge of the investigation. The team contacted Kucoin and OKX while these transactions were public, requesting that they freeze the cash.
While OKX apparently disregarded the request, Kucoin chose to accede to it.
Do Kwon is he involved?
Kwon has often said that he was in contact with government representatives and wasn’t on the run. A former prosecutor believes Kwon may have attempted to utilize the substantial sum of money as an evacuation fund, nevertheless. The representative said,
“In a typical criminal investigation, it is common to undertake a thorough inquiry with suspicion of money laundering and concealment if a sizable sum of money is moved from the suspect’s account following the issuing of an arrest warrant. Prior to moving forward, we must determine if it will serve as an evacuation fund.
The prosecution is also allegedly suspicious of fleeing, laundering, or concealing when the arrest order is issued. The prosecution is also aware that Kwon is likely to claim he had nothing to do with the Bitcoin transfer. However, inquiries and efforts to cut off Kwon’s funding were taking priority.