NewsletterBreaking: Terra Employee Stole 80 Bitcoin, S.Korean Police Confirm
A Terraform Labs employee arrested by the Seoul Metropolitan Police Agency on Tuesday stole 80 bitcoin worth nearly $2.39 million. Terraform Labs traded large amounts of crypto assets in mid-May when the prices of UST and LUNA collapsed.
However, it is still unclear if Terra founder Do Kwon or any other employees were involved in the embezzlement of funds. South Korean authorities are currently investigating Terra and its employees.
Terra Employee Charged With Embezzlement of 80 Bitcoin
An employee of Terraform Labs has stolen 80 Bitcoin worth nearly $2.39 million during the Terra’s UST and LUNA collapse in May, South Korea’s Yonhap News Agency reported on June 9.
The police is currently looking into the circumstances in which the employee of Terraform Labs tried to embezzle bitcoin. The employee seems to have tampered with the Bitcoin reserves of the Luna Foundation Guard, which were stored to support the stability of UST stablecoin.
After the incident, the Luna Foundation Guard (LFG) announced that it has sold most of its Bitcoin holdings and only 300 Bitcoin remains in the reserves. The police started investigations in mid-May and requested the domestic exchanges to freeze the related funds. However, issuing a warrant takes time due to the involvement of overseas exchange.
A police official told Yonhap:
“It is still unknown whether there are many systematic embezzlement or if it is related to Terraform Labs CEO Kwon Do-hyung.”
The police is actively looking into other previous transfers or fund flow to Do Kwon and related parties. Meanwhile, Terra’s co-founder Daniel Shin has denied any allegations of malpractice or fraud related to Terra’s crash.
Terra 2.0 (LUNA) Prices Continue to Fall Amid Investigations
The investigations and lawsuits over Do Kwon and Terra’s collapse have caused investors to lose confidence. The Terra 2.0 revival plans seem to be failing as the LUNA price continues to fall. At the time of writing, the LUNA price is currently trading at $2.94, down 19% in the last 24 hours.
Terra 2.0 token made an all-time low of $1.96 yesterday. The LUNA price is down nearly 75% in the last 8 days.
Why Trust CoinGape
CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more… to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
Premium Partners
Delivered every day.
- Insights that move markets
- 100,000 active subscribers
Related Articles
- Tom Lee Says Bitcoin Could Hit New ATH In January As Hassett Becomes Favorite For Fed Chair
- 8 Best Crypto Exchanges That Accept PayPal Deposits and Withdrawals
- Jerome Powell Speech Today: What To Expect as Fed Ends QT
- Tom Lee’s BitMine Acquires 96,798 ETH Ahead of Ethereum Fusaka Upgrade
- Schiff Predicts ‘Beginning of the End’ for MSTR as Strategy Eases Bitcoin Sell-Off Fears With $1.44B Reserve
- Pi Network Price Prediction Ahead of December’s 190M Scheduled Unlock
- Dogecoin Price Below $0.15 as Crypto Market Crashes: Will $0.10 Hold?
- Will the Binance Coin Price Rebound as a Key RWA Metric Jumps 99%
- AVAX Price Prediction After Bitwise Files for a Staking ETF — A Rebound Coming?
- Will Chainlink Price Soar to $20 with U.S. Spot ETF Launch?
- Is Pepe Coin Price at Risk After Forming This Bearish Pattern?
