A South Korean court has issued an arrest warrant for Do Kwon, the lead developer of cryptocurrencies Luna and TerraUSD, whose spectacular crash in May disrupted cryptocurrency markets around the world.
Investors accused Kwon, founder of blockchain platform Terraform Labs, of fraud in the wake of the crash.
“An arrest warrant has been issued for six people, including Do Kwon, who are currently residing in Singapore,” a spokesman for the prosecutors said on Wednesday.
Kwon did not immediately respond to an email from Reuters seeking comment.
The arrest warrant comes after months of investigation, including searches and seizures at related offices and local cryptocurrency exchanges.
TerraUSD, the so-called stablecoin that was among the world’s top 10 cryptocurrencies by market cap, broke the 1:1 peg to the US dollar in May, depreciating and sending the double Luna coin with it.
According to blockchain analytics firm Elliptic, investors in the two currencies have lost an estimated $42 billion.
The market turmoil that followed led to the failure of several major crypto firms including US crypto lender Celsius and Singapore-based crypto fund manager Three Arrows Capital.
In a video interview in August with crypto media platform Coinage, Kwon said he moved to Singapore due to concerns about his family’s safety and rejected suggestions that the move was due to an accident or an attempt to evade investigators.