- LUNA price jumped 77% after news that Terra founder Do Kwon avoided extradition from Montenegro to the US, but gains quickly faded
- Appeals court ruled for second time that Kwon’s extradition was invalid; he still faces legal issues in South Korea and US
- Brief LUNA and LUNC pumps seen as vindication by some supporters, but prices remain far below all-time highs amid Terra’s collapse
LUNA, the rebooted token of the now-defunct Terra ecosystem, jumped 77% on Tuesday after news broke regarding Terra founder Do Kwon‘s latest legal situation in Montenegro. However, the gains quickly faded as the crypto market turned downward. Still, the surprise pump signals that some LUNA investors still cling to hope amid the ongoing fallout of Terra’s collapse in 2022.
Do Kwon Evades Extradition to the United States Again
On Tuesday, a Montenegrin appeals court ruled for the second time that a lower court’s approval of Kwon’s extradition to the US was invalid. Kwon is currently in a Montenegro prison awaiting extradition to either the US or South Korea to face criminal and civil charges related to Terra’s implosion. The appeals court decision returns the case to a lower court, which will again rule on Kwon’s extradition.
LUNA and LUNC Prices React to Kwon News
Immediately after the news of Kwon’s legal reprieve, LUNA pumped 77% to $1.47 before falling back down to $1.12 at the time of writing. LUNA Classic (LUNC) also pumped 33% before quickly surrendering most of the gains. Crypto Twitter users celebrated the pumps as vindication for Kwon and the future of the Terra ecosystem. However, the fleeting price spikes reflect the weakened state of both assets after Terra’s collapse.
The Road Ahead for Do Kwon and Terra
While Kwon has again delayed extradition, he still faces criminal trials and lawsuits in South Korea if not the US. Further, Terra is a shell of its former self, with LUNA and LUNC prices still dramatically below their all-time highs. However, Kwon evading extradition provides a glimmer of hope to pro-LUNA investors dreaming of an unlikely revival.
Conclusion
The revived Terra ecosystem remains on life support, but Do Kwon dodging extradition kept hope alive for its few remaining supporters. Still, Kwon almost certainly faces legal consequences, and LUNA and LUNC seem unlikely to reclaim past glories anytime soon. Terra’s brief pumps this week reflect wishful thinking more than actual fundamentals.
