Luna Foundation Guard Denies Moving Bitcoins Linked to Do Kwon

Earlier this week, Interpol issued a Red Notice to Terra founder Do Kwon on request from South Korean prosecutors. Interestingly, the prosecutors also asked for freezing $67 million worth of Bitcoins tied to the fugitive Terra founder. The prosecutors decided to freeze assets after they found a trail of funds linked to Do Kwon.

However, the Luna Foundation Guard, a Bitcoin reserve connected to Do Kwon said that denied moving any tokens since May 22. The tweet from LFG reads:

The LFG treasury’s $BTC wallet is: bc1q9d4ywgfnd8h43da5tpcxcn6ajv590cg6d3tg6axemvljvt2k76zs50tv4q. LFG hasn’t created any new wallets or moved $BTC or other tokens held by LFG since May 2022.

As per the south Korean prosecutors, they have a confirmed report that 3,313 Bitcoins — worth about $67 million have been moved to crypto exchanges KuCoin and OKX from wallets linked to Kwon’s Luna Foundation Guard. These two exchanges haven’t responded to the matter yet.

Also, as per a crypto market researcher, a new wallet address believed to belong to LFG was created on September 15. Post that, the wallet moved the 3313 Bitcoins to the two exchanges. In an emailed statement to Bloomberg, the researcher said:

“CryptoQuant specified new Bitcoin addresses owned by LFG based on transaction patterns, adjacent flows and material non-public information”.

Do Kwon Says He’s Not On the Run

Interpol has been looking for the location of the Terra founder, however, Do Kwon remains absolutely calm and has been responding to Twitter messages. Earlier on Monday, the Terra founder said that he’s “making zero effort to hide,” adding “I go on walks and malls.”

The implosion of the Terra ecosystem earlier this year led to the erosion of more than $60 billion in investors’ funds. Since then, regulators across the globe, and especially in South Korea, have been keeping a close watch on the movement of Do Kwon.

Until earlier this month, Do Kwon was reportedly in Singapore. However, the Singapore police have confirmed that the Terra founder is no more in the city. Although Kwon has promised to cooperate with the investigative agencies, his location remains unknown.

Bhushan is a FinTech enthusiast and holds a good flair in understanding financial markets. His interest in economics and finance draw his attention towards the new emerging Blockchain Technology and Cryptocurrency markets. He is continuously in a learning process and keeps himself motivated by sharing his acquired knowledge. In free time he reads thriller fictions novels and sometimes explore his culinary skills.

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