SEOUL (REUTERS) – South Korean prosecutors have carried out search and seizure operations at local cryptocurrency exchanges and related offices, looking for evidence of illegal practice involved in the collapse of the Luna digital token in May.
“A total of 15 places, including cryptocurrency exchanges and related offices, were searched on Wednesday (July 20) for proof of allegations,” a spokesman told Reuters on Thursday, without elaborating.
Investors have made fraud accusations against South Korean developers Do Kwon and Daniel Shin, co-founders of blockchain platform Terraform Labs, which is affiliated with the failed cryptocurrency.
Luna’s value fell to practically zero in May with the collapse of stablecoin TerraUSD, which had been pegged to the United States dollar and was exchangeable with Luna.
Several employees of Terraform Labs, which lists Singapore as its base, were put on a no-fly list last month.