Bitget App
Trade smarter
Buy cryptoMarketsTradeFuturesEarnWeb3SquareMore
Trade
Spot
Buy and sell crypto with ease
Margin
Amplify your capital and maximize fund efficiency
Onchain
Going Onchain, without going Onchain!
Convert
Zero fees, no slippage
Explore
Launchhub
Gain the edge early and start winning
Copy
Copy elite trader with one click
Bots
Simple, fast, and reliable AI trading bot
Trade
USDT-M Futures
Futures settled in USDT
USDC-M Futures
Futures settled in USDC
Coin-M Futures
Futures settled in cryptocurrencies
Explore
Futures guide
A beginner-to-advanced journey in futures trading
Futures promotions
Generous rewards await
Overview
A variety of products to grow your assets
Simple Earn
Deposit and withdraw anytime to earn flexible returns with zero risk
On-chain Earn
Earn profits daily without risking principal
Structured Earn
Robust financial innovation to navigate market swings
VIP and Wealth Management
Premium services for smart wealth management
Loans
Flexible borrowing with high fund security
Terraform Labs’ Chapter 11 Case: Key Developments and Implications for LUNA

Terraform Labs’ Chapter 11 Case: Key Developments and Implications for LUNA

CoineditionCoinedition2024/07/19 22:34
By:Coin Edition
  • Terra to reopen the Shuttle bridge and move assets to secure wallets, available for redemption until 30 days post chapter 11 plan effectiveness.
  • TFL to un-delegate and burn 150 million LUNA tokens as part of SEC settlement, affecting 49 validators recommended by the Terra Delegation Committee.
  • The chapter 11 plan is pending court approval, expected to be effective by late September 2024, marking significant changes for Terra users.

Terraform Labs (TFL), the company behind the troubled Terra blockchain, has received court approval to reopen its Shuttle Bridge as part of its ongoing bankruptcy proceedings. This move allows users to redeem certain assets and marks a significant step in TFL’s restructuring efforts.

Under the court order, TFL will reopen the Shuttle Bridge, enabling users to redeem wrapped assets on Terra Classic. Assets currently held in Shuttle Bridge wallets will be transferred to new, more secure wallets, which will streamline the redemption process. Users will have 30 days after TFL’s Chapter 11 plan becomes effective to redeem their assets.

The plan’s approval and implementation are expected no earlier than late September 2024. After this period, TFL intends to permanently shut down the Shuttle Bridge, with any remaining assets to be burned.

The court order also mandates that TFL begin the revoking process for 125 million LUNA tokens currently staked with 49 validators. This move aligns with a settlement agreement reached between TFL and the U.S. Securities and Exchange Commission (SEC). Once the un-delegation process is complete, both the 125 million LUNA used for staking and an additional 25 million LUNA allocated for liquidity provisioning will be permanently burned.

The 49 validators involved in this process were carefully selected based on specific recommendations from the Terra Delegation Committee. This strategic action marks a notable shift in the handling and management of LUNA tokens as TFL navigates its Chapter 11 proceedings .

Terra reported that it will provide further instructions through its official channels, including the Terra Money Twitter accounts, in due time. The company noted that previous users of the Shuttle Bridge will be informed of the necessary steps to redeem their assets once the new Shuttle Bridge interface is operational.

Disclaimer: The information presented in this article is for informational and educational purposes only. The article does not constitute financial advice or advice of any kind. Coin Edition is not responsible for any losses incurred as a result of the utilization of content, products, or services mentioned. Readers are advised to exercise caution before taking any action related to the company.

0

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

PoolX: Locked for new tokens.
APR up to 10%. Always on, always get airdrop.
Lock now!

You may also like

Subscribe to TANSSI Savings and enjoy up to 15% APR

Bitget Announcement2025/07/15 11:00

TACUSDT now launched for futures trading and trading bots

Bitget Announcement2025/07/15 10:40

Bitget Spot Bot adds PUMP/USDT

Bitget Announcement2025/07/15 08:00