Kwon is wanted by both South Korea and the US after the 2022 collapse of his TerraUSD stablecoin and Luna token wiped out at least US$40 billion and exacerbated a US$2 trillion crypto-market rout. The ructions contributed to a spate of bankruptcies and exposed deep risks in the digital asset market.
The Terraform Labs digital-asset business co-founded by Do Kwon filed for Chapter 11 bankruptcy protection in the US.
The company’s estimated assets and liabilities are both in the range of US$100 million to US$500 million, while the number of creditors is between 100 and 199, according to court documents filed in Delaware on Sunday.
