South Korea police arrest first person involved in Terra collapse

South Korean police have reportedly captured the first person involved in the Terra blockchain ecosystem collapse. 

Yoo Mo, the head of the business team of Terraform Labs, has been arrested, Forkast reports.

The Seoul Southern District Prosecutors’ Office charged Yoo with the violation of the Capital Markets Act and fraud by manipulating the market price of the stablecoin TerraUSD (UST), now known as TerraUSD Classic (USTC).

The arrest warrant on Yoo was issued back in September — the executive is believed to be a part of the inner circle of Terra’s cofounder Do Kwon.

The $40 billion Terra ecosystem collapse in May 2022 led to a crypto market rout that wiped out nearly a trillion dollars from the crypto market.

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