Terra Founder Do Kwon Sells More LFG-Linked Bitcoin As SEC Lawsuit Moves Ahead

Terraform Labs (TFL) and co-founder Do Kwon have moved Bitcoin and other crypto assets worth millions in the past few months. Do Kwon’s affiliates have started selling BTC linked to Luna Foundation Guard after transferring 5292 bitcoins to another wallet last month, according to on-chain data confirmed by a South Korean news outlet.

Terra Do Kwon Selling LFG-Linked Bitcoin?

While Do Kwon remains imprisoned in Montenegro, his affiliates in control of his wallets moved 239 BTC from 5292 BTC linked to Luna Foundation Guard, reported Digital Asset that claims to tracking wallets belonging to TFL, LFG, and Do Kwon.

CoinGape Media reported that Do Kwon or his affiliates transferred all remaining 5292 BTC worth $163 million from a Binance wallet of the Luna Foundation (LFG) to an unknown wallet on July 3.

According to on-chain data, the wallet address “bc1qs6” now has 5053.26 BTCs worth $146 million after a transfer to “bc1q42.”

The US Securities and Exchange Commission (SEC) said Do Kwon and TFL secretly transferred 10,000 BTC to a cold wallet after the Terra-LUNA crisis. Do Kwon continue to transfer Bitcoin from the cold wallet to crypto bank Sygnum and cashed out millions until now.

The latest transfer happened from the LFG crypto wallet, which was opened in January 2021. According to on-chain data, 5292 BTC in the LFG wallet was deposited into an unknown wallet.

After Do Kwon’s arrest in Montenegro, these transactions started to appear more frequently. Terraform Labs also transferred 1.8 million Convex Finance (CVX) tokens worth nearly $8.7 million.

Also Read: LUNC Proposal To Re-Enable Terra Luna Classic IBC To Cosmos Chain Passed

Court Denies Terraform Labs’ Request To Dismiss SEC Lawsuit

Lawyers representing TFL and Do Kwon filed a motion to dismiss the US SEC lawsuit as it doesn’t have jurisdiction. Terra also cited Judge Torres’s ruling in the SEC v. Ripple Labs case. However, Judge Rakoff denies the motion to dismiss the lawsuit and rejected Judge Torres’ landmark ruling as precedent in the lawsuit.

Terra (LUNA) price fell 0.5% in the past 24 hours, with the price currently trading at $0.56. Meanwhile, LUNC price trades at $0.000078, up 0.5% in the past 24 hours.

Also Read: Aave Proposal To Prohibit Curve Finance CRV Borrowing Officially Passed

Varinder has 10 years of experience in the Fintech sector, with over 5 years dedicated to blockchain, crypto, and Web3 developments. Being a technology enthusiast and analytical thinker, he has shared his knowledge of disruptive technologies in over 5000+ news, articles, and papers. With CoinGape Media, Varinder believes in the huge potential of these innovative future technologies. He is currently covering all the latest updates and developments in the crypto industry.

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