Wallet likely linked to Do Kwon moves $7 million while crypto king is in jail DL News

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A year after crypto empire Do Kwons collapsed, the former crypto king faced his first fight with justice today in a court in Montenegro.

But despite Kwon being behind bars, a crypto wallet, linked to Kwon according to Seoul-based university professor Jaewoo Cho, has made combined transactions of more than $7 million in the past few days, the first activity since before his death. arrest on March 23.

Cho has been monitoring the activity of the Do Kwons channel for a year.

If the wallet does indeed belong to Kwon, it is unknown who made the transactions, as Kwon was detained pending his court date. He is accused of using fake passports in Montenegro when he tried to board a private jet to Dubai. In court earlier today, he denied the charges and asked for $400,000 bail, according to local media.

The United States and South Korea have sought his extradition on charges of fraud of at least $40 billion.

NOW READ: Meet the professor obsessed with tracking fugitive crypto Do Kwon through the blockchain

If DK had any chance of connecting to the internet or giving his private keys to someone else in secret, it would make sense, Cho told DL News.

Kwons’ lawyer in Montenegro did not immediately respond to a request for comment.

The wallet has traded just over $6.5 million for the USDC stablecoin over the past few days, using decentralized exchanges Uniswap and Curve.

And 500,000 USDC was sent to a one-day intermediary wallet on Sunday, which in turn transferred 450,100 USDC to a wallet created in September 2021.

NOW READ: Was it the Do Kwons getaway jet to Dubai?

The main wallet, which currently holds over $22 million in USDC stablecoin, was created in March 2022. It received a total of 33,214 USDC in two transfers from Binance. South Korean officials have repeatedly called on Binance, the world’s largest centralized exchange, to stop any withdrawals of digital assets from Kwons.

Binance did not respond to questions from DL News regarding the two transactions.

The trades were completed almost a year to the day after TerraUSD broke away from the dollar and fell to $0.35, prompting Kwon to tweet the now infamous Deploy More Stable Capital tweet.

Deploy more capital – stable guys

— Do Kwon (@stablekwon) May 9, 2022

The last movement before May 6 was on February 28. Kwon was arrested at Podgorica airport alongside fellow traveler and former Terra Labs CFO Han Chang-joon on March 23.

NOW READ: Do Kwon was caught on a private jet on the tarmac in Montenegro with a fake Costa Rican passport

Cho, who first spotted the wallet’s movements and shared with DL News, explained why he thinks the wallet must belong to Do Kwon:

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The wallet, Cho said, received an initial deposit of Ether from another Ethereum wallet. This suggests that the same individual controls both wallets. And the other Ethereum wallet seems to be linked to Kwon because it received TerraUSD from a blockchain bridge in 2020 around the same time and for the same amount as a wallet on the Terra blockchain sent TerraUSD to this blockchain bridge. This wallet is widely believed to belong to Kwon, Cho said.

Tracking your funds

Kwons’ on-chain activity is under close scrutiny by law enforcement, as South Korean prosecutors attempt to recover criminal proceeds accrued by the Terraform Labs co-founder and his associates and claim to have seized approximately $313 million dollars so far.

Investigations continue in Serbia, South Korea and the United States as police try to find out how he was able to fund his six-month run.

For several months after the collapse, Kwon bounced from South Korea to Singapore, where the company is based, then to Dubai and from there an alleged six-month stay in Serbia before disappearing over the border of Montenegro for 10 days.

He was arrested by the police as he tried to board a private jet bound for Dubai using false documents, a Costa Rican passport and a Belgian identity card.

While Kwon and Hans’ trail through the Balkans is not recovered, more money is claimed for restitution. DL News last month uncovered a $2.2 million luxury apartment in Belgrade bought by Han.

NOW READ: Do Kwon’s associate Han bought a $2.2million apartment in Belgrade during a manhunt

Following a police raid the day after the publication, Serbian authorities confirmed that they had seized the property and that any proceeds from the sale of the apartment would be returned to South Korea. Serbian prosecutor Branko Stamenkovic told DL News he believed it was the most valuable temporary seizure in this case.

A spokesperson for the Seoul Southern District Attorney’s Office confirmed last month that it was tracking $100 million that was at one point in Swiss bank Sygnum. Part of the sum was also transferred to the South Korean law firm Kwons Kim & Chang, according to the authorities.

While the United States and South Korea have charged him with several counts of fraud and various financial crimes, it is unclear who will be able to prosecute him after his trial in Montenegro.

And how much of the salvaged assets will end up in the pockets of retail investors who lost funds in the collapse is also unclear.

NOW READ: Crypto Fugitive Do Kwon Plots Comeback After $60 Billion Terra Collapse

It’s now the priority of FatManTerra, the handle of the Twitter sleuth who has amassed over 100,000 followers in following Kwon and his inner cabal.

There is a sense of hope in the air. With Do Kwon in prison, I am optimistic that his crimes will be met with justice, he told DL News.

I hope all the evidence that has been released will lead to civil lawsuits and proper restitution for the victims, he said.

According to Cho, the atmosphere in the South Korean crypto community is mixed, with some seeking Kwon to be brought home first, where much of his assets have been confiscated. Others doubt he faces enough charges in Seoul and believe he should be extradited to the United States.

For Professor Cho himself, the place does not matter. I want him to be charged where he can get a bigger sentence, he said.

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