NFT Artists Coming to Seoul in September for The Gateway: Korea

Terraform Labs Co-Founder Indicted in South KoreaTen individuals linked to the Terra USD collapse have been indicted in South Korea on charges associated with violations of capital markets law, including the Co-Founder of Terraform Labs, Daniel Shin. That’s according to a report published by Bloomberg on Tuesday.©Pexels/Donald TongTwo of the ten were charged with breach of trust while the remaining eight, including Shin, were charged with illegal trading. Prosecutors confirmed that all of the charged individuals have ties to Terraform Labs, the company responsible for developing the Terra protocol, and the Terra USD (TUSD) stablecoin and Luna cryptocurrency which collapsed in 2022.It’s understood that the ten individuals were also accused of illegal disclosure of clients’ payment information and the embezzlement of corporate funds. The authorities have claimed that the ten individuals are responsible for causing “astronomical damage” to investors. They estimate that all ten of them took 463 billion won, around $347 million, in profit.Business interestsShin co-founded Terraform Labs with Do Kwon in 2018. He left the project in 2020, long before its spectacular failure in 2022. However, he would have profited considerably from the project. Prior to co-founding Terraform Labs, Shin had founded lifestyle commerce company TMON in 2010. Two years later, he founded venture capital and private equity firm, Fast Track Asia while in 2017 he was a founding partner of another venture capital and private equity firm, Bass Investment.He remains involved in all of those other businesses. Furthermore, Shin founded integrated payments firm PortOne Global in January 2020, immediately upon exiting Terraform Labs. He remains CEO of PortOne Global today.$185 million frozenOn Tuesday, the Seoul Southern District Prosecutor’s Office outlined that it had frozen assets to the value of 246.8 billion won, approximately $185 million, belonging to those that it has brought charges against. South Korean authorities had previously acknowledged a difficulty in seizing assets related to Terraform Labs Co-Founder Do Kwon. It’s understood that a transfer of funds from Do Kwon to a prominent South Korean law firm is being investigated. Otherwise, the search for funds has led them overseas where it’s understood that Do Kwon purchased real estate in his mother’s name in the United States in a bid to evade asset confiscation.Free pending trialShin remains at liberty pending trial. Back in December, a South Korean court turned down a request to arrest him on the basis that he wasn’t likely to destroy evidence and wouldn’t pose a flight risk.That hasn’t proven to be the case where his former colleague Do Kwon is concerned. Do Kwon fled to Montenegro where he was recently charged with having entered the country on false documents. Both South Korea and the United States have formally applied for his extradition. In the United States, the Securities and Exchange Commission (SEC) has sued both Do Kwon and Terraform Labs. Terraform Labs subsequently submitted a request to the courts in the US to dismiss the lawsuit, claiming the SEC lacks jurisdiction.

Binance Thriving in China Despite Crypto BanWhen China cracked down on cryptocurrency trading in 2021, it seemed like Binance, the world’s largest crypto exchange, would have to leave the country behind. However, nearly two years later, an investigative report carried out by the Wall Street Journal finds that business is thriving for Binance in China.Photo by Hanson Lu on Unsplash$90 billion in monthly tradingThe report, which was published on Wednesday, reveals that users managed to trade a staggering $90 billion worth of cryptocurrency-related assets in China within just one month.Internal data, shared with The Wall Street Journal and corroborated by current and former employees, unveils this underground activity. Remarkably, these transactions propelled China to become Binance’s largest market, accounting for a massive 20% of global trading volume, excluding trades by a subset of major traders.Almost one million active Chinese usersDespite the supposed ban, Binance’s internal discussions highlight the pivotal role China still plays for the exchange. Current and former employees indicate that Binance’s investigations team collaborates closely with Chinese law enforcement. This partnership aims to identify potential criminal activities among the 900,000+ active users in China, underscoring Binance’s efforts to maintain oversight.However, Binance now faces regulatory challenges tied to its secretive global operations. In June, the US Securities and Exchange Commission (SEC) filed a lawsuit against Binance and its Founder, Changpeng Zhao (CZ), alleging illegal operations and misuse of customer funds.Meanwhile, the Justice Department is conducting its own investigation. A report by Semafor on Wednesday suggests that authorities are considering fraud charges but they’re concerned that such an eventuality may lead to a run on the exchange. This regulatory onslaught has seen Binance’s market share among US users plummet, leading to a reduction of over 1,000 jobs out of its 8,000-strong workforce.Circumventing regulationThe clandestine existence of Binance’s footprint in China offers insights into the exchange’s ability to function surreptitiously in unwelcoming environments. To circumvent restrictions, Binance directed Chinese users to visit local websites with domain names before rerouting them to the global exchange. This tactic allowed Binance to keep a foothold in China, even after the government blocked direct access to its website in 2017.China’s central bank, responsible for imposing the crypto ban, remained silent when questioned about these developments. Binance’s official stance is that its website is blocked in China and inaccessible to users there.Holding on to its China-based users is crucial for Binance as it navigates a treacherous regulatory landscape that threatens its future. The company’s history with China is intricate. CZ established the firm in Shanghai in 2017, only for the government to initiate a series of regulatory attacks on crypto exchanges soon after. This led to concerns about money being illicitly moved out of the country, and Zhao eventually relocated Binance’s operations to Japan.Despite this move, Binance retained a significant workforce in China, a decision that raised concerns among its US arm regarding data control. Binance’s Chinese heritage also attracted attention, with Zhao addressing the company’s challenge of being labeled both a “criminal entity” in China and a “Chinese company” in the West.Binance’s relationship with China remains complex. As the exchange navigates these murky waters, its ability to operate under the radar and maintain its foothold in markets like China will undoubtedly play a significant role in determining its future trajectory.

Piggycell, a blockchain decentralized physical infrastructure network (DePIN) startup, recently announced that it has successfully closed its seed investment round for $10 million. Piggycell will mainly use the funds raised from the investment round to expand its charging infrastructure and ecosystem further.Piggycell is improving the ownership and management of charging infrastructures through DePINs and real-world assets (RWAs). By integrating blockchain technology with physical assets, Piggycell aims to empower users through decentralized ownership, transparent profit-sharing models and enhanced community engagement. Since its establishment in 2020, Piggycell has made advancements in developing its infrastructure. It currently has over 13,000 charging hubs with over 100,000 batteries across all cities in South Korea. As a key player in the country's portable battery rental industry, Piggycell boasts nearly four million users and commands over 90% of the market share. One of the notable investors in the round is Animoca Brands, a Web3 company that uses blockchain technology to provide digital property rights to consumers worldwide, supporting the development of the open metaverse. Animoca Brands is one of the most active investors in Web3, with a portfolio of over 540 investments. Another key investor in this round is Internet Computer (ICP), a third-generation blockchain developed by the DFINITY Foundation that enables full end-to-end decentralization without the use of cloud computing. With its cryptographic methods, ICP supports fully on-chain applications, including complex web services.The investment from Animoca Brands, ICP and other investors further endorses Piggycell as a DePIN platform that bridges traditional Web2 services with the Web3 ecosystem. Having received backing from Web3 investors, Piggycell is now working to accelerate its decentralized infrastructure network with next-generation blockchain capabilities. Piggycell plans to launch its DePIN platform in the first half of 2025.  About PiggycellPiggycell is an RWA and DeFIN project that merges blockchain with real-world utility, offering a Charge-to-Earn experience. Its power bank-sharing infrastructure rewards users for charging their devices, bridging digital incentives with real-world convenience. By combining hub-based charging stations with blockchain technology, the project seeks to enhance transparency and efficiency through a digital twin strategy. Beyond charging, Piggycell integrates a social app-tech gaming platform, fostering interaction, gamification and community-driven growth.