BitMEX, a crypto derivatives exchange, was incorporated in Seychelles.

Yet, the US government successfully indicted and got the four founders to surrender [1] (two of whom were non-US citizens).

They can definitely claim jurisdiction if American users were affected in the scheme.

1 - https://www.coindesk.com/markets/2021/03/15/bitmex-founder-b...

Fraud is criminal activity, I'm not talking about that. Corporate shield does not protect you from criminal law. Do Kwon probably should do jail time. The comment I was referring to had to do with a civil lawsuit.

Luna/Terra worked as intended. It's not his fault people didn't read the white paper.

That's really not how it works.

> Do Kwon probably should do jail time.

Why? These ~~marks~~ investors wanted free unregulated finance on the blockchain, and they got it. Where's the crime?

Investors also wanted to invest in a ponzi with madoff - does that make it ok?

I don't think they knew they were putting money in a Ponzi scheme. They thought the gains were coming from real investments.

People who spent money on Terra/Luna knew it was a cryptocurrency that used magic computer maths to make numbers get bigger (until number got small), same as all the other cryptocurrencies.

That's a ponzi too, and no, your ordinary American only looked at the large yield and said oh, i should get in on that, even though, it was some sort of ponzi with funny dynamics.

So no, it's still a ponzi, and no, most people had no idea.

Precisely. If the US doesn't have juristiction they will just seek extradition and generally get it unless they fuck up the case horribly (like the Kim Dotcom situation).

Depends on the country. Some countries do not extradite their citizens and some others only if what they are accused of is also illegal in their own jurisdiction...

This case comes to mind ...

https://www.politico.eu/article/wife-of-us-diplomat-anne-sac...

At core, as with most things, it's unfortunately a question of power, not legality ...

What did they screw up with Kim?

Everything. They couldn't for the life of them work out how to follow procedure so they got crucified by the NZ courts.

If they had just done shit by the book they would have had him on US soil with no problems at all.

FWIW I don't agree that he -should- be able to be extradited. Just stating the fact that if the US had just not screwed the pooch they would have been successful in doing so.

They'll just mumble interstate commerce and presto changeo, it's off to Club Fed.