Do Kwon's Terraform Labs said to be probed by Singapore police

Singapore police have launched an investigation into Terraform Labs PTE Ltd., the company behind collapsed Luna cryptocurrency (LUSC-USD) and sister token TerraUSD ( UST-USD ), Bloomberg reported Monday, citing an emailed statement. The force said inquiries are "ongoing" as part of its probe into Terraform Labs, the statement read, adding that Do Hyeong Kwon, the company's co-founder, is not currently in the city state. Last month, the U.S. Securities and Exchange Commission sued both Terraform Labs and Do Kwon, who is wanted by South Korean authorities, for allegedly conducting a multibillion-dollar crypto asset securities fraud. Do Kwon had created the TerraUSD ( UST-USD ) algorithmic stablecoin, which was designed to be pegged to the value of the U.S. dollar through a series of algorithms involving Luna ( LUNC-USD ). The tokens, though, blew up in May 2022 and led to a raft of implosions across the crypto space, ranging from hedge fund Three Arrows Capital to crypto lender Celsius Network. Terraform Labs reportedly came under SEC scrutiny in June 2022 -- shortly after the UST meltdown -- on whether it breached federal investor protection rules .