MVMT Labs Chapter 11 Filing Sends MOVE to Record Low as Move Industries Distances Itself

Bankruptcy filing details

According to court records, MVMT Labs filed a voluntary Subchapter V petition on July 15, 2026. The documents list assets in the range of $100,001 to $1 million and liabilities between $1 million and $10 million. The filing also identifies between 200 and 999 creditors.

The court is expecting a restructuring plan by October 13, 2026. That process could provide a clearer picture of what remains inside the bankrupt entity and how its obligations may be addressed.

Token drops to new low

In the days following the filing, MOVE fell to an all-time low of $0.0104. It was later trading around $0.0108, according to the source article, leaving the token down 94% over the past year. At that level, its market capitalization stood at roughly $45 million.

The decline marks a sharp reversal from MOVE’s earlier peak of $1.45 in December 2024. The current valuation of the bankrupt estate, based on the court filing, is only a small portion of the project’s earlier scale.

Background to the decline

Movement had already been under pressure before the bankruptcy case. The source article says a market-making arrangement led to the sale of 66 million tokens at launch. That episode was followed by a misconduct probe, a Binance ban on the account involved, and exchange delistings.

Those earlier setbacks had already weighed heavily on the token before MVMT Labs sought court protection. The new filing appears to have added another layer of uncertainty around the project’s legacy structure.

Move Industries says operations continue

Move Industries has sought to separate its current operations from the bankruptcy case. The company, which rebranded in May 2025 under CEO Torab Torabi, shifted its focus toward stablecoin payments for emerging markets after taking over ecosystem development.

Torabi said MVMT Labs is a distinct entity and that Move Industries is functioning normally. He also said the project is not collapsing. Even so, the market response has remained weak, with the token continuing to trade near record lows.

The immediate question is how much value, if any, remains in MVMT Labs and whether the Chapter 11 process uncovers assets or obligations that matter for the wider Movement story. For now, the bankruptcy concerns the original developer, while the current operating company says it remains active, but the token’s price shows investors are still treating the situation with caution.