Official records show that Do Kwon dissolved Terraform Labs Korea, closing its headquarters and sole branch just days before the collapse of Terra Crypto (LUNA) and stablecoin Terrausd (UST).
Closes Kwon Terraform Labs Korea ahead of UST and LUNA Fallout
Terraform Labs founder Do Kwon reportedly shut down his company in Korea days before cryptocurrency Terra (LUNA) and stablecoin Terrausd (UST) collapsed.
Terraform Labs Korea decided to liquidate its Busan headquarters and Seoul branch at its annual shareholders meeting on April 30, according to the registry office of the Supreme Court of South Korea, Digital Today reported. The company appointed CEO Kwon Do-hyeong, Do Kwon’s full name, as liquidator.
The release in detail:
On May 4th, Terraform Labs Korea headquarters and on May 6th the Seoul office were dissolved.
On May 9, UST lost its peg to the US dollar and its price continued to fall. At the time of writing, it is trading at around $0.08. LUNA also fell sharply from over $80 on April 30 to $0.00013351 at the time of writing.
Although Terraform Labs is a Singapore incorporated company, it was registered to do business in South Korea as Terraform Labs Korea, with headquarters in Busan and an office in Seongdong District, east of Seoul.
Kwon founded Terraform Labs Korea on June 21, 2019. On September 26, 2019, Ticket Monster (Tmon) founder Shin Hyun-sung joined the company as the second co-founder. However, he resigned on March 2, 2020, leaving Kwon as CEO of Terraform Labs.
An on-chain analysis by blockchain data analytics firm Elliptic revealed that amid the UST and LUNA fallout, the Luna Foundation Guard (LFG) sent its Bitcoin reserves to cryptocurrency exchanges Gemini and Binance.
What do you think of Kwon shutting down his company in South Korea a week before the collapse of UST and LUNA? Let us know in the comment section below.
Kevin Helms
photo credit: Shutterstock, Pixabay, WikiCommons
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