Woofun AI reports that a Delaware bankruptcy court issued a dual ruling allowing Terraform Labs’ Plan Administrator to access Jump Trading documents for a $4 billion lawsuit while simultaneously rejecting four late crypto-loss claims. Judge Shannon’s order clarifies that while the administrator may now use these materials in an amended complaint, the decision does not establish liability or determine final recovery amounts for existing creditors.

Structurally, the court permitted the immediate use of Jump Trading documents in the Illinois-based litigation, though decisions regarding confidentiality designations remain with the handling court. This procedural shift enables Terraform to strengthen its legal position without making the documents public or pre-judging their evidentiary value. The ruling effectively separates the administrative use of evidence from the substantive determination of whether Jump owes money.

Notably, the order denied motions from four individuals seeking to file crypto-loss claims after the statutory deadline, directing Kroll, the claims agent, to update the register accordingly. While this specific rejection narrows the pool of potential claimants, it does not bar all late filers. The administrator reports approximately 16,640 submitted crypto-loss claims, with determinations continuing on a rolling basis to distinguish between submitted and allowed claims.

Per Woofun AI, the distinction between submitted and allowed claims remains critical, as only the latter will determine eligibility for distributions. Existing claimants now face a simplified reality where any additional recovery hinges on the $4 billion lawsuit surviving early challenges and resulting in a judgment or settlement. If successful, net proceeds could increase assets available for allowed claims; if it fails, the permission to use documents generates no revenue on its own.