Report: Montenegrin authorities set to release Do Kwon while he awaits extradition

According to reports, Do Kwon, co-founder of Terraform Labs, will be released from prison in Montenegro on March 23, but will have to surrender his travel documents. The Council of the Supreme Court is currently reviewing whether or not Kwon should be extradited to South Korea. Kwon was arrested in Montenegro in March 2023 for using fake travel documents. Both the United States and South Korea have filed extradition requests for Kwon to face fraud charges. If extradited to the US, he could face eight felony charges, while in South Korea, he may be indicted for fraud and violations of capital markets law. It is still uncertain where Kwon will be extradited to, if at all. Prosecutors also plan to confiscate Kwon’s South Korean passport, which was revoked in 2022 after the collapse of Terra. Kwon had used a forged Costa Rican passport in Montenegro, claiming it was real. Other individuals associated with Terraform Labs, including co-founder Shin Hyun-Seong, also known as Daniel Shin, are facing criminal charges for defrauding investors. Shin stayed in South Korea after the collapse of Terra in May 2022, which led to regulatory scrutiny and a decline in the crypto market.