Bankruptcy filing follows $38 million in selling pressure from a disputed market-making deal and Coinbase delisting.
Movement Labs filed for Chapter 11 bankruptcy after its MOVE token collapsed more than 94% over the past year to roughly $0.01. The decline followed a controversial market-making agreement that reportedly triggered $38 million in downward price pressure.
The firm suspended co-founder Rushi Manche in May 2025 over a deal with Web3Port, which received 66 million MOVE tokens—about 5% of the supply. Coinbase suspended MOVE trading later that month, citing unmet listing standards amid an ongoing investigation.
The filing marks the culmination of prolonged turmoil tied to the token’s launch and subsequent market disruptions.