2023-07-11
Terraform
Labs co-founder Shin Hyun-Seong, aka Daniel Shin, faces first trial on charges
related to illegal profits from the sale of Terra (LUNA).
According
to a July 10 report from News1 Korea, a pretrial hearing for Daniel Shin and
seven accomplices began in the Southern District Court of Seoul following his
indictment in April. Prosecutors reportedly said they deceived investors and
manipulated the prices of some tokens through media coverage, and that the
transactions initiated in 2018 resulted in “unfair profits.” of 462.9 billion
Korean won or more than $354 million.
Shin
reportedly sold $118 million worth of LUNA before the token's price crash in
May 2022. He later went on to found Chai Corporation, a fintech company. He
reportedly used similar tactics to illegally profit from investors' funds.
Previously, Shin's attorney denied reports that he "sold Luna at its peak for a profit." Shin's LinkedIn profile shows that he has not been associated with Terra since January 2020.
Do Kwon,
one of Terra's co-founders, was arrested in Montenegro in March from the use
of fake travel documents. Authorities sentenced him to four months in prison and
he could face extradition to the United States or South Korea at the end of his
sentence – South Korean prosecutors issued a warrant for Kwon's arrest in September
2022.
The price
of LUNC is still on downtrend with $572 million fully diluted market cap. Terra
Classic’s TVL currently sits at $2.35 million which is really low.
