Do Kwon Released from Montenegrin Prison

Do Kwon, the Terraform Labs co-founder involved in a fraud case following the Terra Luna cryptocurrency collapse, was released from prison in Montenegro on Saturday, March 23. 

 According to a Bloomberg report, the release came as Montenegro’s Supreme Court is considering extradition requests from the United States and South Korea. Kwon faces allegations of fraud related to the dramatic loss of approximately $60 billion in market value in 2022.

Kwon’s detention in Montenegro ended after serving his term for traveling with falsified documents. Following his release, he was taken into the custody of the police directorate for foreigners due to his status as a foreign national without valid documentation. The decision to release Kwon was influenced by the Supreme Court’s suspension of a lower court ruling that initially favored his extradition to South Korea.

The legal process concerning Kwon’s extradition remains unresolved as the Supreme Court’s Council continues to review the case. Moreover, the judiciary’s intervention came after procedural errors were identified by the chief prosecutor, delaying a definitive resolution on whether Kwon will be extradited to South Korea or the United States. Kwon could face eight felony charges related to the TerraUSD stablecoin’s collapse if extradited to the U.S. 

Goran Rodic, Kwon’s attorney, also confirmed his client’s release. According to state TV reports, Kwon’s passport was confiscated to stop him from exiting the nation. On Saturday, state television also reported, referencing Rodic, that Kwon had been moved to a foreigner’s shelter. Rodic plans to petition a court to allow Kwon to stay free while awaiting a decision on extradition.