NewsletterTFL Chapter 11 Bankruptcy: Court Approves Shuttle Bridge Reopen & 150M LUNA Burn
Highlights
- TFL Chapter 11 bankruptcy case advances with new court order.
- The Terra Classic ecosystem aims to reopen shuttle bridge and burn millions of LUNA.
- A brief overview of recent legal developments.
The Terraform Labs (TFL) Chapter 11 bankruptcy filing has recently taken a new turn. Today, July 19, the update from the Terra community revealed that a new court order was issued. This order authorized the shuttle bridge’s reopening and a staggering 150 million LUNA burn, garnering attention toward the Terra ecosystem.
So, let’s look at the latest developments unfolding within the lawsuit that echoed a bustle across the cryptocurrency space.
Court Issues New Order In TFL Chapter 11 Bankruptcy
According to the post shared by the Terra community, the new court order in the Chapter 11 bankruptcy case allows the firm to reopen the Shuttle bridge for the redemption of wrapped assets on Terra Classic. Furthermore, it would allow to undelegate and burn 150 million LUNA received from the Terra community grant.
The ecosystem aims to move all assets within the shuttle bridge wallets to new, even secure wallets. Besides, it aims to make available a new, seamless Shuttle Bridge interface that authorizes users to redeem wrapped assets until 30 days after the Chapter 11 plan becomes effective.
Additionally, the firm will also start the process to undelegate 125 million LUNA currently staked with 49 validators. This comes as a broader consequence of the recent settlement reached between TFL and the SEC. Nonetheless, following the completion of this process, an extra 25 million LUNA from the liquidity provision will be burned, totaling 150 million.
Besides, the firm also clarified that no user action is required as of now. Further announcements will be made in due course.
Also Read: Terra Luna Classic Approaches New Milestone Ahead TFL LUNC & USTC Burn
Recent Legal Developments
A recent report by CoinGape Media cleared the water on why the U.S. SEC deems Terra Luna Classic to be a security, along with other cryptocurrencies such as MATIC, SAND, MANA, etc. Meanwhile, the court also set the TFL Chapter 11 bankruptcy filing deadlines, which is crucial for creditors.
Also, it’s worth mentioning that LUNA price traded at $0.4378, up 0.29%.
Also Read: LUNC News: Terra Luna Classic Moves Closer to Tax2Gas Implementation
Why Trust CoinGape
CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more… to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
Premium Partners
Delivered every day.
- Insights that move markets
- 100,000 active subscribers
Related Articles
- Toncoin (TON), Plasma (XPL) Rebound as Coinbase Announces Listing
- Hyperliquid Pool Sees $4.9M Loss Amid POPCAT Whale Market Exploit
- SUI Network Gets Major Boost From $100M Astro Perp DEX Success and Stablecoin Launch
- Nasdaq Certifies Canary Capital XRP ETF for Trading Ahead of Milestone Launch Today
- Breaking: President Donald Trump Signs Bill to End Government Shutdown, Bitcoin Bounces
- Is Dogecoin Price Set for a Rally After 4.72 B $DOGE Whale Accumulation?
- XRP Price Shows Early Signs of Recovery Ahead of the First U.S. XRP ETF Debut—Rally Ahead?
- What’s Next for XRP, DOGE And ADA Ahead of U.S. Government Shutdown Resolution
- FUNToken is Trending Sideways Ahead of the $5M Giveaway: Is It Accumulating?
- Death Cross Triggers Sell Signals for Cardano Price— Will ADA Retest $0.50?
- Sui Price Set for a $5 After Launch of USDsui Native Stablecoin
