The Swiss government has reportedly frozen $26 million in Bitcoin and other cryptocurrencies linked to Terraform Labs (TFL) and its CEO Do Kwon.
This comes after requests from the US Securities and Exchange Commission (SEC) and the New York Federal Attorney’s Office.
Alleged assets of TFL, stored in Sygnum cryptocurrency bank in Zurich, are said to belong to Kwon, Chai Corporation’s former CEO Han Chang Zhong, ex-TFL research group head Nicholas Platias and Terraform Labs itself.
In September of 2022, South Korea issued an arrest warrant for Kwon and five other TFL personnel on charges of capital market violations.
Then, while attempting to fly from Podgorica airport to Dubai with forged documents, the entrepreneur was apprehended by Montenegrin police.
In May, Kwon and former CFO of TFL Han Chang-joon pleaded not guilty. With South Korea asking for Kwon’s repatriation to face prosecution and the US also seeking for his extradition to address SEC and New York Federal Prosecutor’s fraud claims, the TFL chair was released on house arrest in June after a €400,000 ($436,000) bond payment.