The founder of Terraform Labs, which created now failed algorithmic stablecoin terraUSD or UST and its sister token luna has denied reports that he is trying to cash out on some of the Bitcoin held in his name.
An earlier report indicated that two cryptocurrency exchanges were asked by authorities in South Korea to freeze more than $60 million worth of Bitcoin linked to Do Kwon.
As reported by CNBC, the prosecutors from the Seoul Southern District office “said they have put in a request to crypto exchanges OKX and KuCoin to freeze some 3,313 bitcoin tied to Kwon. At Wednesday’s price, that bitcoin is worth around $62 million.
“Combined, these coins were worth around $60 billion before they collapsed spectacularly in May to near-to-nothing, sending shockwaves through the crypto industry.”
But in a tweet he made in this regard, Do Kwon described the reports as misinformation.
“What has been probably the most surprising in all this is the amount of misinformation that gets spread.
“There is no “cashout” as alleged, I haven’t used kucoin or okex in at least the last year, and no funds of tfl, lfg, or any other entities have been frozen,” he said via a tweet.