Dohyeong Kwon, CEO of Terraform Labs, who caused the coin Luna and Terra USD (UST) crash, denied the allegations of tax evasion raised by some, saying, "There are no unpaid taxes in Korea."

Kwon said this through Twitter, and said that Terraform Labs had been subjected to a tax investigation by the Korean National Tax Service and paid the tax in full.

In particular, he argued that the IRS tax collection was unfair.

"The South Korean government needed money to support the corona (financial) spending and ingeniously charged the cryptocurrency companies millions of dollars (taxes)," he claimed. "We paid our share in full."

"We are willing to respond to any litigation or regulatory investigation to the best of our ability," he said. "We have nothing to hide."

Kwon took this position after netizens questioned one after another about the suspicion of tax evasion and the dissolution of a Korean corporation.

Kwon claimed, "The National Tax Service conducted a tax investigation on all major virtual currencies (businesses) of Korean corporations and applied Korean tax laws to overseas parent companies (Teraform Labs Singapore headquarters)."

He continued, "All the companies [of Terra Form Labs] ultimately paid their taxes," he said. "We paid the full amount."

Kwon said, "I have been staying in Singapore since December of last year."

Prior to this, it is known that the National Tax Service has conducted an investigation focusing on the fact that the company in question omitted some income and donations related to the issuance of virtual currency through overseas tax haven corporations.

In particular, there is a possibility that the tax authorities will conduct an exceptional re-investigation after this incident and report Kwon and others to the prosecution on charges of tax evasion.

Korean investors who had already invested in Luna and UST and suffered losses filed a complaint against Kwon, and the prosecution assigned the case to the recently revived Joint Investigation Team on Financial Securities Crimes.