In a series of raids, the office of application payment app ChaiCorp was again censored, the Seoul Southern District Prosecutors Office confirmed. Investigators also looked at two affiliated companies but declined to provide further investigative information.
This week, the South Korean Prosecutors` Office raided 15 companies including Upbit, Bithumb and Gopax, along with seven local cryptocurrency exchanges. The raid came as the government summoned current and former TerraformLabs employees for questioning and banned them from leaving the country for a month.
Detectives are still investigating whether the company CEO DoKwon evaded taxes by transferring profits from encrypted transactions to unknown overseas accounts. The government also objected to Kwon's money laundering charges. However, since Terra's implosion, Shin announced on his app that he's partnering with TerraformLabs and Kwon to keep his distance.
Kwon and Shin have addresses in Singapore. Both declined to comment for this story, although it was unclear whether they lived there. The U.S. Securities and Exchange Commission (SEC) is also investigating Kwon and the company.
Since its downfall in May, policymakers around the world have come under intense scrutiny by policymakers around the world over whether such outbreaks of crypto experimentation pose a risk to the more common financial system. The volatility of otherwise stable currencies has caused turbulence in the crypto market, further fueling the debate.
