This document is a public notice submitted in the bankruptcy case of Terraform Labs under Chapter 11 (in the state of Delaware, USA).
Essentially, this is a standard update of information that the company (now in the process of liquidation/closure) is required to provide to the court and the public.
Here is a simple explanation of what this means:
Terraform Labs (a supporter of the collapsed stablecoin TerraUSD and the Luna token) has gone through bankruptcy proceedings. As part of the settlement of claims regarding fraud with the U.S. Securities and Exchange Commission (SEC), the court approved certain steps for the proper cessation of the company's activities.
One of these steps allowed the company to enter into contracts with BitGo (a company that provides cryptocurrency custody and security):
- Custody services agreement - BitGo securely stores digital assets (such as cryptocurrency) for them during tough times.
- General purchase and sale agreement - likely related to buying/selling or handling cryptocurrency/assets as part of the liquidation of all assets.
- By court order, Terraform Labs is required to report any payments made by BitGo under these contracts. Monthly (within 30 days after the end of the month), the company must submit a brief report of this kind until the services are completed.
This particular notice states:
- In December 2025, they paid BitGo $5000 as a fee.
- This is just a confirmation that the payment occurred, as required.
- This is reported by the plan administrator (Todd R. Snyder, the person overseeing the trust liquidation process).
In short: this is not sensational news - it is a small mandatory monthly/periodic report showing a modest fee of $5000 paid to BitGo for asset custody services at the end of 2025. Bankruptcy is at a stage after plan approval, where the focus is on the gradual liquidation of remaining assets, reviewing claims from affected/investors, and completing all matters. This notice is simply a document confirming compliance with court rules regarding these specific agreements.
