Why did South Korea arrest Kwon?

South Korea authorities issued an arrest warrant for Mr Kwon last September as they believed Terraform Labs had violated capital market rules. They had thought he was in Serbia, and even sent officials to Belgrade to negotiate, since the two nations do not have an extradition treaty.

Who is Mr Kwon?

Mr Adzic added that the suspect was allegedly travelling under a false name with fake documents. Authorities were waiting for official confirmation of the man's identity, he said. On Friday, South Korea police confirmed that the suspect in Montenegro was Mr Kwon, after his fingerprints matched official records.

What happened to do Kwon?

Do Kwon flew to Singapore in May - before Terra crashed - but the authorities say he's no longer there. South Korean prosecutors had asked Interpol to place him on the red notice list - a request it has now complied with - and asked the foreign ministry in Seoul to revoke his passport, saying that Do Kwon was "on the run".

What happened to Mr Kwon's cryptocurrencies?

Mr. Kwon has faced an investigation in South Korea and investor lawsuits in U.S. courts after two cryptocurrencies that he created—TerraUSD and Luna—crashed earlier this year. The collapse erased some $40 billion in value in the two cryptocurrencies in a few days, and wiped out the savings of thousands of investors.