Company bankruptcy ≠ founder bankruptcy
The founders? Still loaded.
This is the game. Limited liability structures mean when a company goes under, the cap table takes the hit—not the personal wallets of execs who already extracted liquidity.
Seen it play out dozens of times:
• Token project rugs → team cashed out at ATH
• VC-backed startup implodes → founders had secondary sales
• Protocol treasury drained → insiders dumped allocations months ago
Moral of the story: Watch where the smart money exits, not where the marketing hype peaks. Bankruptcy filings are often just the public funeral for something that died quietly in private—while insiders already moved to the next play.
The founders? Still loaded.
This is the game. Limited liability structures mean when a company goes under, the cap table takes the hit—not the personal wallets of execs who already extracted liquidity.
Seen it play out dozens of times:
• Token project rugs → team cashed out at ATH
• VC-backed startup implodes → founders had secondary sales
• Protocol treasury drained → insiders dumped allocations months ago
Moral of the story: Watch where the smart money exits, not where the marketing hype peaks. Bankruptcy filings are often just the public funeral for something that died quietly in private—while insiders already moved to the next play.