Terraform Labs files in court — new ruling clarifies LUNC status

2026-01-30 21:11:24

Abstract generation in progress

In a significant legal development regarding the case number in the court related to Terraform Labs (TFL), the judicial authorities officially approved the cancellation of the bankruptcy session scheduled for January 26. At the same time, the court approved extending the company’s legal liquidation period until December 31, 2026. This decision, which directly pertains to the case number in the court, carries several legal and economic implications that must be clearly understood.

What the court decision regarding TFL’s case includes

The new judicial ruling maintains the current legal status without any drastic changes. The company remains in a state of administrative liquidation only according to the legal case file in court. This practically means that:

There are no plans to restart operations
There is no active operational management
The company has no authority over the Terra network or its decisions
The court is limited to legal and regulatory procedures with the SEC

The administrative extension granted until 2026 is a pure routine measure to organize the termination process, and not an “revival of the project” or “rescue plan” as some may misunderstand. The case number in court merely documents the ongoing organized liquidation process.

The status of the LUNC network and current governance

What the LUNC community should focus on is that the Terra network operates completely independently of Terraform Labs. The network management is now solely in the hands of the community, with no interference from TFL in decisions or governance mechanisms. This complete separation between the company and the network is the undeniable reality, regardless of developments in the court case.

Any price movement of LUNC after this announcement is a result of sentiment and speculation, not a change in technical or governance fundamentals.

Summary and advice for investors

Some legal noise has been reduced with the closure of the bankruptcy session, but the true fundamentals of the project have not changed at all. Understanding the details of the court decision and the case number protects you from falling for rumors. Calmness and logical analysis are better than quick emotional reactions.

Educational content only, not investment advice.

LUNC4,59%

View Original

This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.