SafeMoon files for loss, SFM simulation from 50% to all-time low crashes

Defimm Coin's SafeMoon SFM token has fallen by 50% after the company behind the project filed for Chapter 7 bankruptcy.

SFM is currently trading at $0.00003270It has decreased by 49.6% in the last 24 hours and according to the data obtained by CoinGecko, the signal for the cryptocurrency is all time low.

SafeMoon US, LLC filed for Chapter 7 bankruptcy on December 14th in the United States Bankruptcy Court in the District Court of Utah, filed by attorney Mark Rose. The filing shows the company has between 50-99 creditors, assets of between $10,000,001 and $50 million and liabilities of between $100,001 and $500,000.

A post in the r/safemoon subreddit shows a letter from the company's chief restructuring officer, indicating that employees will have to file claims for unpaid wages in bankruptcy cases.

The bankruptcy filing comes after the U.S. Department of Justice announced charges last month against Safe Moon executives Braden John Caroni, Kyle Nagy and Thomas Smith on charges of securities fraud, wire fraud and money laundering.

“They deliberately misled investors and diverted millions of dollars to fuel their greedy schemes,” said US Attorney for the Eastern District of New York Brian Peace in a statement accompanying the charges.

Caroni and Smith were arrested, while Nagy was arrested. At the same time, the US Securities and Exchange Commission (SEC) filed a civil suit against Safe Moon and its executives for “engaging in a massive fraudulent scheme.”