HectorDAO applies for Chapter 15 bankruptcy protection after suffering tens of millions of dollars in losses

Golden Finance reported that the decentralized autonomous organization HectorDAO has applied for Chapter 15 bankruptcy protection in the United States due to the loss of funds caused by the 2022 Terra ecosystem collapse, multiple market crashes, and hacker attacks. According to the documents, HectorDAO suffered a loss of $16.4 million and was hit by a $2.7 million hacker attack in 2023. This led to the appointment of Interpath Advisory as a bankruptcy management and restructuring expert to investigate the possibility of former management personnel implementing internal hacker attacks. The Chapter 15 bankruptcy filing allows HectorDAO to deal with legal affairs involving its international investors in the U.S. court system.