On December 27, 2024, the Justice Minister of Montenegro signed the decision to extradite Terraform Labs founder Do Kwon to the United States. The Constitutional Court rejected his appeal, ending the legal process.
Do Kwon is accused of financial fraud following the collapse of the cryptocurrency projects TerraUSD and Luna, which resulted in over $40 billion in losses. After being arrested in Montenegro in March 2023, he tried to avoid extradition, but the courts confirmed he will be sent to the US for prosecution.
Terraform Labs has already paid $4.5 billion as part of a settlement with the SEC, but Kwon’s legal battles continue.