Hodlnaut was once a fast-growing crypto yield platform serving more than 30,000 users globally before freezing withdrawals in August 2022. The company later entered liquidation as the wider crypto lending sector collapsed following Terra’s implosion. Other major lenders including Celsius Network and Voyager Digital also filed for bankruptcy during the same period.

The case highlights the growing legal and regulatory fallout still unfolding years after the 2022 crypto market crash. Authorities worldwide have increasingly focused on whether crypto firms properly disclosed risks to customers during one of the industry’s most damaging financial crises.