Montenegro’s Constitutional Court has turned down Do Kwon’s appeal against extradition , a key moment in his legal fight. The court agreed to dismiss Kwon’s arguments, pointing out legal issues and supporting an earlier decision that allowed his extradition. Montenegro’s justice minister will decide if Kwon goes to the United States or South Korea, and it seems likely he will be sent to the US.
Kwon is facing serious accusations related to the major collapse of Terraform Labs’ cryptocurrency system, especially concerning the TerraUSD and Luna coins. The May 2022 market crash caused a huge loss of almost $40 billion, making it one of the biggest financial disasters ever.
This event caused the UST stablecoin to fail and started the well-known “crypto winter” of 2022. It raised concerns about different platforms like FTX and Celsius and led to increased global attention on stablecoins and decentralized finance.
Kwon was taken into custody in Montenegro in March 2023 for trying to travel with a fake passport. His case is seen as a significant step for countries working together to prosecute crimes involving cryptocurrency. This year, Terraform Labs settled with the SEC for $4.47 billion, which included major fines and penalties for Kwon.
There are also worries about Kwon’s possible political ties in Montenegro, with claims that he has financially supported the Europe Now party, which Milojko Spajic leads. This ruling brings Kwon closer to extradition and shows the need for better international cooperation to address crimes.
