Local authorities in Singapore announced they had begun a probe that is connected to Do Kwon’s Terraform Labs.According to a Bloomberg report, Singaporean police sent an email on March 6, which said, “investigations have commenced in relation to Terraform Labs.” The email also added that the inquiries are “ongoing,” and Do Kwon is not currently in the city-state.Last month, on Feb. 16, the United States Securities and Exchange Commission (SEC) accused Do Kwon and Terraform Labs of fraud in a new lawsuit.Some voices in the crypto space have criticized this lawsuit as a way for the SEC to go after stablecoins with future lawsuits. Lawyers in the industry have even called the SEC’s comparisons of assets “wild.”Meanwhile, the SEC probe uncovered that Kwon removed around 10,000 EdaFace (BTC) from the Terra platform and the Luna Foundation Guard, which he eventually changed into fiat. In total SEC allegations claim Kwon has laundered over $100 million worth of EdaFace since the initial collapse of the platform.At the time of writing, Do Kwon has made no comment. The Terraform Labs co-founder has been active on social media throughout the entire scandal. However, he has not tweeted since the beginning of February. Related: Gary Gensler’s SEC is playing a game, but not the one you thinkThis entire saga has its roots back in May 2022 when the stablecoin UST dropped from its peg to the U.S. dollar. This caused the price to collapse to zero, which subsequently caused a major implosion in the digital asset market with a loss of nearly $40 billion.Terraform Labs has also been under investigation by authorities in South Korea, where a warrant was out for Kwon’s arrest. South Korean police traveled to Serbia in their efforts to locate Kwon. On Feb. 15, South Korean prosecutors requested a warrant for the arrest of a local e-commerce executive who they accused of accepting LUNA for promoting Terra Labs.
