Terraform Labs has announced the launch of a portal for filing claims to compensate for crypto losses. This portal will allow creditors affected by the collapse of the TerraUSD (UST) and LUNA ecosystem to file claims until April 30, 2025.
Portal Launch and Filing Conditions
The portal, named Crypto Loss Claims Portal, enables creditors to register and submit their claims. To qualify for compensation, creditors must verify their ownership of the affected crypto assets. Valid proof includes wallet addresses for on-chain assets or read-only API keys for assets held on centralized exchanges. Transaction logs or account statements can also be submitted as additional evidence.
Claims Review Process Details
The company clarified that claims supported by additional evidence might take longer to process and will not be included in the expedited review timeline. The claims process is governed by a court-approved reorganization plan which may return between $185 million and $442 million to creditors, pending the final resolution of asset sales.
Bankruptcy Context and Legal Proceedings
Terraform Labs filed for bankruptcy in January 2024 following the collapse of UST and LUNA in May 2022, which wiped out over $40 billion in market value. Concurrently, the trial of the company’s co-founder, Do Kwon, accused of fraud charges, is set to begin in the U.S. in January 2026. Kwon was arrested in Montenegro in March 2023 and extradited to the U.S.
The portal provides a pathway for Terraform Labs creditors to seek compensation for the losses sustained following the collapse of the TerraUSD and LUNA ecosystems. Filing claims will be available until April 2025, offering creditors ample time to prepare all necessary documentation.
