On June 17, according to Yonhap News Agency, there is evidence that Do Kwon, the founder of Terraform Labs, and Daniel Shin, the CEO of Chai Company, have intended to defraud Terra investors since the beginning of Terraform Labs' establishment. According to transcripts of conversations between Kwon and Shin, Kwon told Shin that he could generate transactions that looked real and fake. In response, Shin said: "Let's experiment on a small scale first and see how it works." The transcripts of these conversations have been submitted to the court as evidence by the country's prosecutors.