Daily Crypto Briefs 
WILMINGTON, Delaware, July 22, 2026
MVMT Labs, the original developer behind Movement, filed a voluntary Chapter 11 case in Delaware as MOVE traded near $0.0107 after touching a record low around $0.0104, adding a court-supervised restructuring to a project already marked by a disputed token launch and corporate split.
The filing names MVMT Labs, Inc. as the debtor in case 26-11113. It does not name Move Industries, the separate company now running the Movement ecosystem. In a July 21 statement, Move Industries CEO Torab Torabi said the company was a separate legal entity and was operating normally.
The petition was filed July 15 under Subchapter V, a streamlined Chapter 11 route for small businesses, according to the Delaware case docket. Court-record reports said the petition listed $100,001 to $1 million in assets, $1 million to $10 million in liabilities and 200 to 999 creditors. A Section 341 meeting of creditors was requested for Aug. 20.
CoinGecko listed MOVE at about $0.0107 with a market capitalization near $44.3 million and 24-hour volume around $8.4 million when checked by Daily Crypto Briefs. The token closed near $0.0117 on June 22 and near $0.0107 on July 21, while its July 20 low of about $0.0104 established a fresh bottom, according to its historical data page.
The docket records a voluntary Chapter 11 filing and a subsequent request for debtor-in-possession financing. That is the confirmed legal development. The documents available through the docket did not immediately show a completed restructuring plan or a timetable for creditor recoveries.
Movement
MOVEMVMT Labs Bankruptcy Separates Old Developer From Movement Network
The distinction between MVMT Labs and Move Industries is central to the filing. The current Movement Network website identifies Movement as a settlement and yield layer for emerging markets, while reporting on the case says Move Industries took over ecosystem development in 2025.
Move Industries’ assertion that it is separate does not resolve every practical question. The court case concerns the former development company, but users, builders and counterparties will still be watching for any effect on intellectual property, vendor contracts, token-related obligations or litigation connected with the earlier organization.
Subchapter V can allow a small business to keep operating while it seeks to restructure, subject to court oversight. It is not a declaration that the blockchain has stopped producing blocks, and it does not itself determine the legal status of MOVE holders, who were not immediately identified in the docket as a creditor class.
The case also lands in a market where operational stress at one crypto company can raise questions about assets held elsewhere. Earlier this year, BlockFills froze customer deposits and withdrawals, a separate episode that underlined the difference between a company’s financial problems and the status of assets or services around it.
MOVE Price Slides Near Record Low After Chapter 11 Filing
MOVE’s current price is a fraction of its $1.45 all-time high set in December 2024. CoinMarketCap placed the token’s July 20 low at $0.01044, about 99% below that peak, while the latest quoted levels near $0.0107 show it remained close to the low after the bankruptcy report spread.
The filing itself was made July 15, when MOVE closed near $0.01094 in CoinGecko data. The price then reached the month’s low five days later, though that sequence alone does not establish that the bankruptcy caused each move. Liquidity, broader market conditions and the project’s prior governance issues can also affect a thinly capitalized token.
The legal filing follows a longer chain of setbacks. Reporting on the project has linked the decline to the December 2024 MOVE launch and a market-making controversy involving 66 million tokens, followed by an internal review and leadership changes. Those events predate the Chapter 11 petition and should not be conflated with a court finding in the new case.
The contrast with a formal customer-distribution process is stark. FTX’s planned fifth creditor payout is governed by its own confirmed bankruptcy framework, while MVMT Labs has only entered the early stage of a smaller Subchapter V case.
What the Delaware Chapter 11 Docket Shows Next
The docket shows a July 17 hearing agenda, a first-day declaration, a financing motion and the appointment of Jeffrey Schwendeman as Subchapter V trustee. It also shows a requested Aug. 20 date for the meeting of creditors, the next clear public marker in the case.
No public filing reviewed by Daily Crypto Briefs established whether MVMT Labs will sell assets, propose a standalone reorganization, settle outstanding disputes or seek a plan that affects any project-related rights. The financing request could help the debtor fund the case, but its terms and the court’s disposition are separate questions.
For the Movement network, the immediate test is whether the stated operating separation holds up in practice as court documents arrive. For the token, the available data show a low-price environment rather than a confirmed recovery or further legal outcome.
Fear & Greed Index
July 22, 2026The next documents to watch are any order on financing, schedules that identify assets and liabilities in more detail, and notices for the Aug. 20 creditor meeting. MOVE holders should also distinguish statements from Move Industries from filings made by MVMT Labs, the named debtor in the Delaware case.
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Primary sources and further reading
| Source | Title |
|---|---|
| | Delaware Bankruptcy Court docket: MVMT Labs, Inc., case 26-11113 |
| | Movement Network official website |
| | CoinGecko: Movement price and market data |
| | CoinGecko: Movement historical data |
| | Move Industries statement from CEO Torab Torabi |
| | CoinMarketCap: Movement market data |
| | Alternative.me: Crypto Fear and Greed Index |
Fact-checked by: Daily Crypto Briefs Fact-Check Desk
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Frequently Asked Questions
Did Movement Labs file for bankruptcy?
MVMT Labs, Inc., the original developer linked to the Movement project, filed a voluntary Subchapter V Chapter 11 case in Delaware on July 15, 2026. The case is 26-11113 before Judge Thomas M. Horan.
Is Move Industries included in the MVMT Labs bankruptcy?
Move Industries has said it is a separate legal entity and is operating normally. The court case names MVMT Labs, Inc. as the debtor, so the bankruptcy filing itself does not list Move Industries as a debtor.
What happened to the MOVE token after the filing?
MOVE traded near $0.0107 after reaching an all-time low around $0.0104 on July 20, according to market-data providers. Prices and trading volumes can change quickly.
What does Subchapter V mean?
Subchapter V is a streamlined Chapter 11 path for qualifying small businesses. It is designed to let a debtor propose a restructuring plan under court supervision, but it does not guarantee a reorganization or any recovery for token holders.