Terraform Labs co-founder Do Kwon may not be leaving for the United States any time soon after the Appellate Court of Montenegro overturned a previous decision by a lower court to extradite the former crypto exec to the US.

Do Kwon is facing fraud and other criminal charges in the United States following Terra’s collapse that caused investors billions of dollars in losses, while prosecutors in his native country, South Korea, are also seeking his extradition.

• On March 5, 2024, the Appellate Court revoked the decision of the Podgorica High Court to extradite Kwon to the United States following an appeal by his lawyers.
• According to a statement, the court of appeal cited criminal procedural violations as the reason for its decision.

“Deciding on the appeal of the defendant’s defense attorneys, the panel of the Appellate Court assessed that the decision was affected by significant violations of the provisions of criminal procedure.”

• This will be the third time Kwon’s legal team has won an appeal against an extradition to either the United States or South Korea, with the last appeal happening in February.
• Meanwhile, the latest decision does not completely rule out the extradition of the Terraform Labs co-founder, as the appellate court instructed that the case will return to the lower courts for another trial and decision.
• Kwon, who was arrested in Montenegro in March 2023 alongside Terraform Labs’ former financial officer Han Chang-joon and convicted for carrying a fake passport, was sentenced to four months in prison.
• With Kwon’s extradition facing more delays, prosecutors in both the US and South Korea and the crypto community await where Montenegro courts will finally decide to extradite the Terraform Labs co-founder.