The South Korean court received evidence that "Do Kwon initially intended to deceive investors with false transactions."

ChainCatcher news, according to Yonhap News Agency, there is evidence that Do Kwon, the founder of Terraform Labs, and Daniel Shin, the CEO of Chai, intended to deceive investors since the establishment of Terraform Labs.

Records of conversations between Kwon and Shin show that Kwon told Shin, "I can create fake transactions that look real. Once we grow bigger, you can reduce (the fake transactions), and I won't be able to identify them."

Shin responded, "Let's experiment on a small scale first and see how it goes."

These conversation records have been submitted to the court as evidence by the country's prosecutors.