Summary
South Korean authorities have taken former Terraform Labs CFO Han Chang-joon into custody for allegedly earning $40 million in unfair profits from the fraudulent marketing of the Terra stablecoin. Han is accused of participating in the fraudulent sale of cryptocurrencies and marketing Terra as a real-world payment option, despite knowing it could not be used for payments due to local regulations. Han also faces charges of selling Luna cryptocurrency without proper securities registration and leaking financial information records of Chai Pay customers to the Terra blockchain. Terra co-founder Kwon Do-hyeong is still in custody in Montenegro as authorities decide whether to extradite him to the US or South Korea.
Key Points
1. Former Terraform Labs CFO Han Chang-joon has been taken into custody by South Korean authorities for allegedly earning unfair profits of 53.6 billion Korean won ($40 million) through fraudulent marketing of the Terra stablecoin.
2. Han was extradited from Montenegro after being arrested in March last year for attempting to travel with forged documents. He is accused of participating in the fraudulent sale of cryptocurrencies and marketing Terra as a real-world payment option.
3. Han’s other charges include selling Luna cryptocurrency without proper securities registration and leaking about 100 million financial information records of Chai Pay customers to the Terra blockchain. Terra co-founder Kwon Do-hyeong is also awaiting a decision on his extradition.