Terraform Labs co-founders Do Kwon and the Luna Foundation Guard (LFG) have denied reports that the foundation has moved to sell 3313 BTC worth more than $69 million via KuCoin and the OKX crypto exchange.
Data analysis platform CryptoQuant Shortly after an arrest warrant was issued against Do Kwon on September 14, the LFG reportedly identified a wallet address created on Binance.
By September 17th, LFG had transferred a total of 3313 BTC through Binance, with 1354 BTC flowing into Kucoin and OKX receiving 1959 BTC.
South Korean authorities have reportedly asked the exchange to freeze its assets. Kucoin has frozen 1354 BTC, but OKX has yet to respond to the request.
Dokwon and LFG deny cash out
The Luna Foundation Guard (LFG) has refused to create new wallet addresses other than Treasury addresses. It added that it has not moved its BTC holdings since the Luna ecosystem crash in May 2022.
LFGMinistry of Finance $BTC Wallets are:
bc1q9d4ywgfnd8h43da5tpcxcn6ajv590cg6d3tg6axemvljvt2k76zs50tv4q
LFG has not created or moved new wallets $BTC or any other token held by LFG after May 2022.@ coin desk @iamsandali @cryptoquant_com https://t.co/VFN8A4mJRo
— LFG | Luna Foundation Guard (@LFG_org) September 27, 2022
Fact check treasury wallet Data shared by LFG reveals that it completed its last transaction on May 18, 2022. The wallet received about 71,000 BTC and spent 70,736 BTC. At the time of writing, he holds 313 BTC worth about $5.8 million.
Do Kwon backed up LFG’s claims, adding that neither Kucoin nor the OKX exchange was used in the last year.
Perhaps the most surprising of all this is the amount of misinformation spread.
There is no claimed “cash out”. I haven’t used kucoin or okex for at least the last year and no funds in tfl, lfg or any other entity have been frozen. https://t.co/E1cbKgoqQz
— Do Kwon 🌕 (@stablekwon) September 28, 2022
Do Kwon has received multiple accusations for miking the Terra ecosystem. In June, Terra employees accused him of withdrawing about $80 million from Luna before it collapsed.
Do Kwon also denied allegations that he withdrew $2.7 million from the Terra ecosystem through Abracadabra Money’s Degenbox.
Dokwon is on the global wanted list
Following the Interpol red warrant issued against Dokwon on Sept. 27, law enforcement officials around the world are on the lookout to arrest him.
However, Do Kwon claims he made no effort to hide or evade his arrest.
