The SEC has charged defunct crypto firm Terraform and its co-founder and CEO Do Kwon with fraud.
Kwon and Terraform are charged with violating the registration and anti-fraud provisions of both the Securities and Exchange Acts. The complaint was filed in federal court for the Southern District of New York in Manhattan.
- Terraform's collapse in May 2022 wiped about $40B from the market and sent ripples through the crypto industry, leading to a series of high-profile bankruptcies that are still ongoing.
- The SEC has also accused Kwon of transferring thousands of Bitcoin worth millions of dollars to a Swiss bank account following the crypto's firm collapse in May.
- Kwon also faces fraud charges in South Korea.
- Kwon's current whereabouts are unknown; however, according to South Korean intelligence, he is believed to be in Serbia.
