According to PANews, the Fantom Foundation has filed a lawsuit against the Multichain Foundation for breach of contract and fraudulent misrepresentation after all attempts to contact former directors and key personnel of Multichain failed. On January 30, 2024, the Singapore High Court issued a favorable default judgment for Fantom. In the coming months, the Singapore court will quantify the damages suffered by the Fantom Foundation. Once the damage assessment is completed, the foundation will issue a statutory demand to Multichain to pay the court-assessed amount.
Given Multichain's continued absence, it is expected that this situation will not occur, and the foundation will request the court to liquidate the Multichain Foundation and appoint a liquidator, equivalent to a Chapter 7 bankruptcy in the United States. The liquidator will be authorized by the court to act on behalf of the Multichain Foundation and assist in recovering community assets, including a total of approximately $65 million in frozen stablecoins.