Court Unfreezes $57M USDC in Landmark Libra Token Case
Frozen funds thaw in major legal victory for crypto markets
BREAKING: Regulatory ice cracks as US court authorizes release of $57 million in USDC previously locked in contentious Libra token lawsuit—signaling potential shift in judicial approach toward digital asset disputes.
Legal precedent set
The ruling establishes critical framework for handling stablecoin disputes, demonstrating courts' growing sophistication in navigating complex crypto litigation without stifling innovation.
Market implications
This decision injects immediate liquidity back into ecosystem while providing clearer regulatory pathways—because nothing says 'healthy market' like needing court orders to access your own damn money.
Fallout and Aftermath
Davis emerged as the face of the scandal once the project began to collapse. Subsequently, he launched a media push, portraying himself as the custodian of Libra’s funds and even as an advisor to Milei, but the claims only intensified the backlash against him.
Meanwhile, Chow was forced to resign from his role at decentralized exchange Meteora, with his pseudonymous co-founder “Meow” citing poor judgment in trusting Davis at the time.
For now, Judge Rochon’s decision to unfreeze the funds gives both the defendants breathing room in court, the shadow of the Libra crash continues to hang over the investors seeking restitution.
