Authorities will conduct an investigation after investors have accused the co-founder of the blockchain platform Terraform Labs for fraud.
South Korean prosecutors have attacked many local crypto exchanges and offices as part of an investigation into the collapse of the digital currency Luna.
“A total of 15 locations, including crypto exchanges and affiliated offices, were searched for evidence of the allegations on Wednesday,” a spokesman told Reuters on Thursday without giving details.
Investors have leveled fraud charges against South Korean developers Do Kwon and Daniel Shin, co-founders of the blockchain platform Terraform Labs, which is affiliated with the failed cryptocurrency.
Luna’s value has dropped to virtually zero May following the collapse of the stablecoin TerraUSD, which was fixed in US dollars and exchanged for Luna.
Some employees of South Korea-based Terraform Labs were put on the flight ban list last month.