Terraform Labs files for bankruptcy: What happens now?

-Terraform Labs has filed for bankruptcy.

-In response, the price of $LUNA plummeted.

In the US, Terraform Labs, the firm behind the now-defunct stablecoin #TerraUSD [UST], filed for Chapter 11 bankruptcy protection.

The document, filed with the United States #Bankruptcy Court for the District of Delaware, revealed assets and liabilities estimated to be between $500 million and $100 million.

This development comes amid ongoing legal challenges and follows the collapse of the Terra ecosystem in May 2022.

Calling it quits

In response to the bankruptcy filing, Chris Amani, the CEO of #Terraform Labs, emphasized the resilience of the Terra community.

He stated that the move is essential to address legal hurdles and continue working towards collective goals. #cryptoniteuae #Write2Earn