Overview
- MVMT Labs filed a Subchapter V Chapter 11 petition that listed between $100,001 and $500,000 in assets, $1 million to $10 million in liabilities, 200–999 creditors, and named Jeffrey Schwendeman as the trustee; proofs of claim are due September 14 and a reorganization plan is due October 13.
- The bankruptcy follows the disputed MOVE token market‑making deal that allowed roughly 66 million MOVE tokens to be sold into the market and generated about $38 million in proceeds that exchanges later froze or removed.
- Binance banned the implicated market‑making account and Movement Network Foundation used recovered funds to announce a $38 million repurchase program while hiring Groom Lake to investigate the launch deal.
- Move Industries is a legally separate successor that says it continues operating the Movement blockchain and has repositioned the network toward payments and remittances, but the MOVE token trades near $0.01 and market confidence remains weak.
- The collapse highlights that roughly $41.4 million in disclosed venture funding did not produce sustainable on‑chain activity, leaving creditors, token holders and service providers to sort claims and legal exposure as the Delaware court supervises the outcome.