Do Kwon Released From Montenegro Prison With Extradition Verdict Still Underway: Report

Do Kwon was released from prison in Montenegro on Saturday, but the deliberations on his extradition requests are still ongoing, according to a report by Bloomberg citing prison officials. Kwon, co-founder of Terraform Labs, is currently facing extradition requests from the U.S. and South Korea. While a recent ruling mandated his extradition to South Korea, Montenegro’s top prosecutor is challenging the decision, claiming errors were made in the case. Kwon was initially arrested in Montenegro in March 2023 for traveling with a fake passport. He was caught using a forged Costa Rican passport while trying to escape to Dubai, United Arab Emirates. After serving his prison term for using fake papers, Kwon was released but his future with regards to the extradition requests remains uncertain. Both South Korea and the U.S. have appealed for his extradition, but Montenegro’s minister of justice has given preference to South Korea. The decision is being challenged by Montenegro’s top prosecutor. Kwon is the architect behind the failed crypto project TerraUSD stablecoin, which collapsed alongside the Terra sister token LUNA. He is currently facing allegations of fraud and tax evasion, which South Korean authorities are determined to prosecute. Kwon denies the charges and claims that the collapse of the Terra ecosystem was due to market forces and not criminal activity.