Terraform Labs founder Do Kwon faces a legal setback in Singapore as his claim for a $14 million penthouse refund has been denied by the court.
Deal Breakdown
Kwon signed a deal to buy a 7,600-square-foot penthouse for nearly S$38.8 million. However, the transaction soured when Kwon and his wife failed to complete the purchase by the deadline. The developer resold the unit for S$34.5 million and retained Kwon's deposit.
New Legal Issues
Kwon attempted to recover his funds through the courts, but his arguments were dismissed by Singapore's High Court, which ruled that the developer acted within its rights. Kwon is now also responsible for covering legal fees and additional rent.
Comparison with Other Founders
Kwon's situation draws comparisons to high-profile figures in the crypto space such as Sam Bankman-Fried. Both once managed billion-dollar empires but now face severe legal repercussions.
Despite the denied refund for the penthouse, Kwon continues to navigate multiple legal challenges, highlighting his deteriorating financial status amid the crypto market's volatility.
