SafeMoon Files for Chapter 7 Bankruptcy Following SEC Fraud Charges

Adekunle Joshua

DeFi protocol SafeMoon has filed for Chapter 7 bankruptcy protection

This move comes as the firm faces charges of fraud from the U.S. SEC

Chief restructuring officer Kenneth Ehrler has signed the voluntary petition

According to the bankruptcy filings, SafeMoon US LLC's estimated assets range from $10 million to $50 million, with liabilities falling between $100,001 and $500,000

The SEC has accused SafeMoon executives Kyle Nagy, John Karony, and Thomas Smith of misappropriating investor funds for personal use.