The SEC revealed back in February, Do Kwon and Terraform Labs transferred 10,000 Bitcoin (roughly 300 billion won) to a Swiss bank.
It appears the bank in question was none other than Sygnum Bank AG, which made headlines in 2017 for being the world’s first regulated Digital Asset Bank, headquartered in Zurich, Switzerland.
The explanation was given during a press conference held on the same day that the prosecution charged 10 individuals involved, including former TFL co-president Shin Hyun-Seong, without prior consultation.
Transferred BTC converted into cash and stored in Sygnum accounts
The Seoul Southern District Prosecutors’ Office explained:
“We have also confirmed that $100 million has been used in several places, not left in the Sygnum account as it is, and some transfers have been made to the Kim & Chang law firm account (at the attorney’s expense) and the remaining amount is about billions of won.”
Earlier, the SEC said in February 2023 that Kwon and TFL director:
“Sent 10,000 Bitcoins from TFL and LFG accounts to personal wallets or cold wallets. Since May 2022, defendants have sent the Bitcoins in this wallet to Swiss financial institutions and turned it into fiat currency, withdrawing more than $100 million by the time of filing the lawsuit,” it said.
Prosecutors have recently disclosed that they have received requests from both South Korean and U.S. investigative agencies to freeze Sygnum bank accounts. However, the situation is complex as the Swiss government, as well as the banks involved, will have to determine whose freeze request was made first.
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