{"id":70177,"date":"2022-11-16T16:55:45","date_gmt":"2022-11-16T14:55:45","guid":{"rendered":"https:\/\/forklog.com\/en\/?p=70177"},"modified":"2025-09-08T00:34:01","modified_gmt":"2025-09-07T21:34:01","slug":"media-south-korean-authorities-raid-payments-company-founded-by-terraform-labs-co-founder","status":"publish","type":"post","link":"https:\/\/forklog.com\/en\/media-south-korean-authorities-raid-payments-company-founded-by-terraform-labs-co-founder\/","title":{"rendered":"Media: South Korean authorities raid payments company founded by Terraform Labs co-founder"},"content":{"rendered":"

South Korean prosecutors conducted raids at the payments company Chai Corporation, founded by Terraform Labs co-founder Daniel Shin. According to Forkast<\/a>.<\/p>\n

Authorities allegedly accuse Chai and its founder of using customers’ personal data without their consent in launching a service tied to Terraform Labs\u2019 won-pegged stablecoin, KRT.<\/p>\n

The payments firm stopped using the option in March 2022. Shin says he severed ties with Terraform Labs and its CEO Do Kwon in 2020.<\/p>\n

As part of the ongoing case, prosecutors summoned Shin as founder and head of Chai as a suspect in violations of capital markets law and abuse of power.<\/p>\n

Additional charges relate to illicit gains from the Terra (LUNA) cryptocurrency. Authorities say Shin received pre-issued coins without informing ordinary investors and sold them at the peak<\/a>, earning 140 billion won (~$106 million).<\/p>\n

\n

This is a premine issue. They did not disclose information properly at token issuance. For example, if investors think that 1,000 coins were issued, but in reality there are 10,000, their losses are inevitable.<\/p>\n<\/blockquote>\n

Since May authorities have been investigating the collapse of the Terra ecosystem<\/a>, which served as a trigger for the crypto market downturn.<\/p>\n

Earlier reports indicated that on Sept. 14 in South Korea an arrest warrant was issued<\/a> for Do Kwon and five other Terraform Labs employees on charges including violations of capital markets laws.<\/p>\n

The prosecution approached the Ministry of Foreign Affairs to revoke the passports<\/a> of those named in the document. The ministry granted the request of law enforcement<\/a> and ordered Kwon to return his passport within 14 days.<\/p>\n

Authorities also asked Interpol<\/a> to begin a search and authorize the co-founder’s detention.<\/p>\n

In November, media reported that the prosecutors obtained evidence<\/a> of Do Kwon manipulating the price of LUNA.<\/p>\n

Read ForkLog’s Bitcoin news in our Telegram<\/a> \u2014 cryptocurrency news, prices, and analysis.<\/p>\n","protected":false},"excerpt":{"rendered":"

South Korean prosecutors raided the payments company Chai Corporation, founded by Terraform Labs co-founder Daniel Shin. According to Forkast.<\/p>\n","protected":false},"author":1,"featured_media":70178,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"select":"1","news_style_id":"1","cryptorium_level":"","_short_excerpt_text":"","creation_source":"","_metatest_mainpost_news_update":false,"footnotes":""},"categories":[3],"tags":[974,852],"class_list":["post-70177","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-and-analysis","tag-south-korea","tag-terra"],"aioseo_notices":[],"amp_enabled":true,"views":"37","promo_type":"1","layout_type":"1","short_excerpt":"","is_update":"","_links":{"self":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/70177","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/comments?post=70177"}],"version-history":[{"count":1,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/70177\/revisions"}],"predecessor-version":[{"id":70179,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/70177\/revisions\/70179"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/media\/70178"}],"wp:attachment":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/media?parent=70177"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/categories?post=70177"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/tags?post=70177"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}