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Jul 21, 2026

Movement Labs files for Chapter 11 bankruptcy after token scandal

MVMT Labs, the developer behind the Movement blockchain, filed for Chapter 11 bankruptcy in Delaware on July 15. The filing follows months of upheaval including a controversial market-making agreement, internal investigation into its MOVE token launch, and a Binance ban.

Jul 21, 2026·5 sources
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Top claims

  • ▪Movement Labs separated from its co-founder, Rushikesh “Rushi” Manche, in May 2025 amid the token scandal.
  • ▪In its filing, Movement Labs reported assets between $100,001 and $500,000 and liabilities of up to $10 million.
  • ▪In June 2026, Move Industries announced a strategic pivot for the Movement Network.

Topics

Token launchesCrypto market integrity & manipulationBlockchain technologyLayer 1sTokenomicsCrypto regulation

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