MVMT Labs, the technology-development company that created the Movement blockchain, filed for Chapter 11 Subchapter V bankruptcy protection in Delaware on July 15, 2025. The filing lists estimated assets between $100,001 and $1 million, liabilities between $1 million and $10 million, and 200 to 999 creditors. The case, docketed as 26-11113-TMH, comes after a governance and market-making crisis that reshaped the Movement ecosystem last year.
The bankruptcy filing
The docket includes a debtor-in-possession financing motion (Dkt. 19), a sealed exhibit (Dkt. 20), and a first-day declaration from Michael Robinson (Dkt. 21). A March 2026 report from the Delaware Court of Chancery described MVMT Labs as the entity that built the Movement blockchain. The company raised $38 million in a Series A round led by Polychain Capital in April 2024, but the operating split between MVMT Labs and the current Movement structure predates the bankruptcy.
Who's not involved
MVMT Labs is the only named debtor in the case. The Movement Network Foundation, Move Industries, Movement Limited, and the MOVE token are not listed as debtors. Move Industries CEO Torab stated on July 21, 2025, that MVMT Labs has no affiliation with his company and that Move Industries is not involved in the bankruptcy. The Movement Network Foundation completed an operating change in December 2025, making Move Industries its primary service provider and acquiring key employees from the earlier structure.
The road to Chapter 11
MVMT Labs co-founder Rushi Manche departed prior to the reorganization under Move Industries in May 2025. The MOVE token, launched in December 2024 through the Movement Network Foundation and its subsidiary Movement Limited, faced a dramatic plunge and potential Binance delisting in May 2025. The bankruptcy filing is the latest chapter in a story that began with a governance and market-making crisis that forced a restructuring of the entire Movement project.
The bankruptcy case is being handled in Delaware. The debtor-in-possession financing motion and first-day declaration will set the stage for how MVMT Labs operates during the proceedings. With 200 to 999 creditors listed, the court will oversee claims and asset distribution. The separation between the bankrupt entity and the current Movement ecosystem appears complete, but the case will likely draw scrutiny from creditors and token holders alike.
