Terraform Labs says bankruptcy will make it easier to appeal SEC lawsuit

THE the company CEO, Chris Amani, said bankruptcy protections could help call THE suit brought against he by THE SECOND, Effectively eliminate "THE Single the biggest claim against that."

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Terraform Laboratories said It is decision has deposit For bankruptcy will help he In pursue A call of THE trial he faces Since THE United States Securities And Exchange Commission.

In A Jan. 30 deposit has A Delaware Bankruptcy Court, Terraform Laboratories CEO Chris Amani wrote that It is Chapter 11 bankruptcy was critical has with success attractive It is case with THE SECOND. THE farm — which created THE now gone stable coin TerraClassicUSD (USTC) — deposit For bankruptcy on Jan. 21.

A call against THE SECOND would be typically require Terraform Laboratories has in front up A “replaces the bind" of 110% of THE total judgement Before he could proceed. However, Chapter 11 bankruptcy protections could allow THE farm has lodge A call without need has job THE deposit.

"A successful call would be eliminate THE Single the biggest claim against THE Debtor, Thus benefit THE Debtor, It is the creditors, And THE community more in general. »

Terraform Laboratories CEO said A Chapter 11 case East critical has attractive THE DRY enforcement action. Source: PACER

In THE deposit, Amani wrote that THE the company Future call will argue THE SECOND doesn't to have THE required authority has charge THE farm Or It is co-founder Do Kwon.

He argued Terraform Laboratories crypto assets can't be called securities And claims THE case falls out THE DRY jurisdiction.

In addition, Amani claims Terraform Laboratories Treasury is holding approximately $28 million In Bitcoin (