Storj Files Chapter 11, but Its Network Stays Online
TL;DR
- Storj filed Chapter 11 on July 26.
- The storage network remains operational.
- STORJ provides no existing equity rights.
- Valdi reflects the expansion being reversed.
- STORJ remained about 15% lower.
Storj Labs filed for Chapter 11 bankruptcy on July 26 in the US Bankruptcy Court for the Northern District of West Virginia. The company plans to address older liabilities while continuing to operate its decentralized storage business.
Storj still serves customers through tens of thousands of storage locations across more than 100 countries. Its restructuring FAQ says customer service and network operations are continuing, while the STORJ token retains its current role in the ecosystem.
The filing has not caused a technical shutdown. The larger concern is whether Storj can retain customers and node operators while its finances are reorganized.
The Network Is Live, but Participants Can Leave
Enterprise customers may reconsider their dependence on Storj if the court process creates doubts about long-term service. The company’s customer terms allow termination when insolvency proceedings remain unresolved for 60 days, provided stored material is removed first.
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