South Korean Prosecutors Raid Terra Co-Founder Daniel Shin's Home: Report

The authorities are continuing their investigation into fraud allegations at the center of the Terra collapse.

AccessTimeIconJul 22, 2022 at 6:03 a.m. UTC
Updated May 11, 2023 at 6:54 p.m. UTC

The home of Terraform Lab’s co-founder, Daniel Shin, in Seoul was raided by South Korean prosecutors on Wednesday, according to a local media report.

  • The raid was conducted as part of a broader investigation over allegations that fraud caused the collapse of the terraUSD (UST) algorithmic stablecoin, the report said.
  • In May, terraUSD fell dramatically off its U.S. dollar peg, causing an industry-wide fallout that saw several hedge funds and exchanges fall victim to overexposure. In the same month, some South Korea-based una (LUNA) token investors filed a complaint against Terraform Labs and co-founder Do Kwon alleging fraud and violations of local securities laws.
  • Shin is the latest stakeholder to be raided by Korean authorities. Earlier this week, major South Korean crypto exchanges, including Bithumb and Upbit, were raided by authorities.
  • In June, prosecutors implemented a travel ban on dozens of people connected to Terraform Labs, including former staff members.
  • Concurrently, prosecutors are also investigating allegations of tax evasion by Terraform Labs founder Do Kwon.
  • Both Shin and Kwon have addresses in Singapore, though it's unclear if they reside there full time.

UPDATE (22 July, 06:12 UTC): Adds background information in second bullet.


Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.

Learn more about Consensus 2024, CoinDesk’s longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to to register and buy your pass now.