Montenegro extradited Terraform Labs Co-Founder Do Kwon to the United States today (Tuesday), according to the country's interior ministry.

Kwon, a South Korean national, was the CEO of Terraform Labs, the company behind TerraUSD, a stablecoin that collapsed in May 2022. This collapse triggered major volatility in cryptocurrency markets.

Extradition to US Approved After Legal Proceedings

After 18 months of legal proceedings, Montenegro approved Kwon's extradition to face fraud charges in the US. Kwon was at the center of the cryptocurrency disaster that saw the loss of nearly $40 billion in a matter of days, with the collapse of the TerraUSD and Luna tokens.

Montenegro's Minister of Justice, Bojan Božović, signed the extradition order following a review by the country's Supreme Court. While South Korea also sought Kwon's extradition, the US request took priority due to the severity of the charges. Montenegro has no direct extradition treaty with either country, complicating the decision process.