Prime Trust has filed for bankruptcy protection in the Delaware bankruptcy court

ChainCatcher news, cryptocurrency custodian Prime Trust has filed for bankruptcy protection under Chapter 11 of the U.S. Bankruptcy Code in the Delaware bankruptcy court, appointing John Guedry as the company's custodian, and appointing John Guedry, John Wilcox, and Michael Wyse as the sole members of the special restructuring committee, which will continue to manage its business as a debtor in possession under the supervision and guidance of the special committee.

Previous report indicated that a court in Nevada ordered Prime Trust to cease all activities, and former employees of Prime Trust revealed that the company might undergo massive layoffs, with the layoff rate potentially reaching 75%.