Terra and Founder Do Kwon Face Charges From SEC, Delayed Action Sparks Controversy – Coinpedia Fintech News
The United States Securities and Exchange Commission’s recent filing of charges against Terra and its founder, Do Kwon, has surprised many in the cryptocurrency world due to its delayed timing. The SEC has been actively cracking down on crypto-related businesses for months, yet it took close to a year for them to prosecute Kwon and his company. The delay is particularly puzzling given that Terra’s collapse caused millions of investors to lose their money and sparked a severe bear market that led to the failure of other cryptocurrency companies.
SEC’s Timing Arouses Suspicion
As a result of the SEC’s announcement, many are questioning the agency’s intentions and whether it truly prioritizes safeguarding U.S. investors.
Crypto influencer Bitboy Crypto has highlighted the suspicious timing of the prosecution. Additionally, the fact that the case only focuses on half of the wrongdoing raises concerns among those who expected the SEC to hold Terra accountable for all its actions.
Kwon’s Downfall
Meanwhile, Kwon has been in hiding for several months as authorities froze hundreds of millions of dollars worth of crypto that allegedly belonged to him. Kwon claims that the funds are not his and that he has no idea what they are talking about. Despite rumors that he is on the run, Kwon has categorically denied them.
Before Terra’s downfall, Kwon was well-known in the crypto world and regarded as a folk hero due to his sharp mind and charming personality. However, he was also criticized for his arrogance and tendency to mock his peers and those he considered “poor.”
In light of the recent charges, officials from Korea are now searching for Kwon in Serbia. The crypto community continues to watch the situation closely and questions the SEC’s actions.
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