Crypto’s Terraform Files for Bankruptcy as Do Kwon Awaits Fate

The Terraform Labs Pte.digital-asset business co-founded by Do Kwon filed for Chapter 11 bankruptcy protection in the US.

The company’s estimated assets and liabilities are both in the range of $100 million to $500 million, while the number of creditors is between 100 and 199, according to court documents filed in Delaware on Sunday.

Kwon is wanted by both South Korea and the US after the 2022 collapse of his TerraUSD stablecoin and Luna token wiped out at least $40 billion and exacerbated a $2 trillion crypto-market rout. The ructions contributed to a spate of bankruptcies and exposed deep ...