Sonic Labs has successfully secured a court ruling from the Singapore High Court to initiate bankruptcy proceedings against the Multichain Foundation, aimed at recovering funds stolen during a significant hacking incident in 2023. The court granted Sonic Labs' request to wind up Multichain and appointed liquidators from KPMG. The judgment was delivered on May 9, with Sonic Labs, previously known as the Fantom Foundation, stating that they resorted to legal action due to the former employees of Multichain being uncooperative. The judicial outcome allows liquidators to collaborate with other parties to seek the recovery of missing funds. This follows a hack that resulted in a reported loss of at least $210 million across multiple blockchain networks, impacting various assets, including those from Fantom and Ethereum. Sonic Labs' CEO announced that the ruling positions them to help other affected parties lodge claims against Multichain. Overall, the Multichain Foundation has faced operational challenges and financial mismanagement leading to this legal crisis.

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