MVMT Labs files for Chapter 11 bankruptcy
MVMT Labs, the developer behind the Ethereum layer-2 network Movement, has filed for Chapter 11 bankruptcy in Delaware. The company holds assets of $100k–$1M against liabilities of $1M–$10M to up to 1,000 investors.
MVMT Labs, the company building the Movement Ethereum layer-2 network, has filed for Chapter 11 bankruptcy protection in the U.S. Bankruptcy Court for the District of Delaware.
According to court filings, the firm's liabilities to no more than 1,000 investors fall in the range of $1 million to $10 million, while its assets are estimated between $100,001 and $1 million. The Chapter 11 filing allows the company to restructure its debts while continuing operations.
The case underscores ongoing distress in the crypto infrastructure sector as market conditions remain challenging.
Source: ForkLog