Despite having avoided anything on the scale of the now infamous FTX debacle, Serbia has not been left untouched by virtual currency controversy, with controversial Terraform Labs co-founder having been allegedly linked to a Serbian based crypto center.
Do Kwon, the co-head of Terraform Labs sought by the US, South Korea and Singapore on charges of fraud and money laundering, was arrested in mid-March in Podgorica, Montenegro, and now Serbian ad US prosecutors have reportedly identified a shell company in Serbia has having been part of the money laundering chain, according to cointelegraph.com and coingape.com.
Serbia was reported to have worked effectively with South Korean prosecutors to investigate the case, with Do Kwon having allegedly exchanged Bitcoin for USD 190,000 through Luna Foundation Guard in Serbia, while also having conducted a bank transfer for another USD 10,000.
US authorities have meanwhile alleged that Do Kwon and Terraform Labs have commited some USD 40 bln in securities fraud. The US, South Korea and Singapore are all seeking Do Kwon’s extradition.
If extradited to the US, Do Kwon will be faced with eight counts of charges. It includes conspiracy to defraud, commodities fraud, securities fraud, wire fraud, and conspiracy to engage in market manipulation.