Portal to Facilitate Payouts After Terra Collapse
Terraform Labs, once behind the now-defunct TerraUSD and LUNA tokens, announced it will open a crypto claims portal for creditors on March 31. The portal is part of the firm’s Chapter 11 bankruptcy resolution process.
Eligible creditors must register before April 30, submitting wallet addresses, exchange API keys, or transaction logs as evidence of ownership.
Claims Review Will Vary by Evidence
Terraform warns that manually submitted evidence may delay review timelines. Claims with complete onchain or API-based documentation will receive faster determinations.
$500M in Potential Payouts
The company could return between $185 million and $442 million to creditors, based on its restructuring plan approved by a Delaware bankruptcy court. Terraform previously agreed to a $4.47 billion settlement with the SEC, though creditor repayments take priority.
The payout marks the final chapter in one of crypto’s most dramatic collapses, when Terra’s ecosystem lost over $40 billion in value in 2022.
