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BlockFi and Three Arrows Capital settlement approved; details remain sealed

BlockFi

In a recent development in the ongoing legal battle between crypto lender BlockFi and defunct crypto hedge fund Three Arrows Capital (3AC), a United States judge has granted approval for a settlement resolving claims and disputes between the two entities.  The approval came during a February 6 hearing presided over by New Jersey Bankruptcy Court […]

BlockFi bankruptcy nets $40M for top law firms in fees

BlockFi

In the wake of BlockFi’s bankruptcy resolution, an eye-opening revelation has emerged regarding the financial beneficiaries of this corporate collapse. As reported by Bloomberg, the four major law firms representing BlockFi during its court proceedings are poised to receive $40 million in legal fees. This development underscores legal experts’ significant role and financial gain in […]

FTX and BlockFi claims settlement moves forward

U.S. wants Binance to settle for $4b in criminal case

In a significant development in the cryptocurrency bankruptcy saga, bankrupt crypto firms FTX and BlockFi have received court approval to move forward with their claims settlement negotiations. The decision, made by United States bankruptcy Judge Michael Kaplan, lifts the automatic stay on proceedings between the two entities, enabling FTX debtors to actively pursue their claims […]

BlockFi emerges from bankruptcy to repay creditors

BlockFi emerges from bankruptcy to repay creditors

BlockFi, the cryptocurrency lending firm that halted withdrawals amid the collapse of the FTX exchange last year, has officially emerged from bankruptcy. Announced on Tuesday, this marks a significant milestone for the company, which has worked assiduously for the past 11 months to reach this stage. According to a blog post, BlockFi credits its swift […]

SBF trial: BlockFi CEO accuses Alameda Research and FTX of financial sabotage

CipherBlade founder accuses new management of asset misappropriation and fraud:

BlockFi CEO Zac Prince resumed his legal face-off with former counterpart Sam Bankman-Fried last Friday. Prince detailed the events that led his lending firm to file for bankruptcy. BlockFi initiated loans to Alameda Research in the waning days of 2020 or early 2021. Prince characterized these loans as having “robust agreements.” The lending escalated in […]

BlockFi seeks court approval to convert trade-only assets into stablecoin

BlockFi emerges from bankruptcy to repay creditors

BlockFi, a prominent cryptocurrency lending platform, recently petitioned a court for permission to convert its users’ trade-only assets into stablecoins. The crypto exchange submitted the request on August 29 to the United States Bankruptcy Court’s District of New Jersey regarding certain assets. However, these assets consist of Dogecoin (DOGE), Bitcoin Cash (BCH), and Algorand’s native […]

FTX and 3AC’s bankruptcy claims contested by BlockFi in ongoing legal drama

JasperArt 2023 08 23 11.40.55 upscaled

BlockFi, the beleaguered cryptocurrency lender, is pushing back against FTX and Three Arrows Capital (3AC). FTX and 3AC, facing bankruptcy themselves, strive to recover vast sums to satisfy their creditors. However, BlockFi’s recent court declaration paints a different picture. On Monday, BlockFi asserted its stance as a victim of the FTX platform. They argue that […]

BlockFi resumes withdrawals for eligible U.S. users amid bankruptcy proceedings

BlockFi resumes withdrawals for eligible U.S. users amid bankruptcy proceedings

BlockFi, the once-prominent crypto lending firm, opened withdrawals of digital assets for eligible clients in the United States on August 17, 2023, following a court order. This marked the first time in months that customers have been able to access their funds, a significant step in the ongoing bankruptcy proceedings that have been fraught with […]

BlockFi’s recovery journey gains momentum with crucial court approval

BlockFi resumes withdrawals for eligible U.S. users amid bankruptcy proceedings

BlockFi, the prominent cryptocurrency lender, has taken a significant step forward in its reorganization efforts as the United States bankruptcy court in New Jersey provisionally approved the company’s disclosure statement.  In a joint statement released on August 2, 2023, BlockFi and the Official Committee of Unsecured Creditors called upon all eligible parties to vote in […]

SEC delays BlockFi’s $30 million penalty, focusing on investor reimbursement

BlockFi management's attorney tells court: no crypto has been withdrawn since October

In a significant development, the U.S. Securities and Exchange Commission (SEC) has agreed to postpone the enforcement of a $30 million penalty against BlockFi, the defunct cryptocurrency lender. This decision comes because the SEC aims to ensure investors receive their rightful refunds before collecting penalties. BlockFi, which failed to register with the SEC before launching […]

What catalyzed the intense crypto bank run of 2022?

2022

When the annals of digital finance are written, 2022 will be remembered as a year of significant upheaval for the cryptocurrency sector. A series of shocks triggered a tsunami of changes in the industry, particularly for crypto platforms which experienced an explosive growth. This growth was spurred by a unique combination of events, market dynamics, […]

BlockFi cryptocurrency lending platform faces backlash as creditors slam restructuring plan

BlockFi management's attorney tells court: no crypto has been withdrawn since October

The dissatisfied creditors have lodged fresh complaints and submitted them to the court concerning the recent restructuring plan implemented by the BlockFi cryptocurrency lending platform. In a filing with the United States Bankruptcy Court in Trenton, New Jersey, BlockFi outlined its Chapter 11 reorganization plan. BlockFi says that selling the cryptocurrency lending platform can’t guarantee […]

Crypto lender BlockFi’s resurrection depends on FTX and Alameda’s fortunes

BlockFi

According to court filings from Friday, the firm’s ability to recover funds for its clients and creditors, affected by the bankruptcy of crypto lender BlockFi, will heavily rely on its claims against its commercial counterparties, namely FTX and Alameda. BlockFi, in its wind-down plan submitted to the U.S. Bankruptcy Court for the District of New […]

BlockFi secures extension to submit bankruptcy strategy plan

BlockFi

It has been reported that BlockFi, the crypto lender platform that went bankrupt five months ago, has managed to secure additional time to submit its bankruptcy strategy plan. During a recent hearing, BlockFi’s attorney Joshua Sussberg stated that the company is actively exploring options to sell its assets. He also revealed BlokFi platform is actively […]

BlockFi’s uninsured funds tied up in Silicon Valley Bank

BlockFi

According to a recent bankruptcy filing, defunct cryptocurrency lender BlockFi has $227 million worth of uninsured funds invested in a money market mutual fund (MMMF) provided by the ailing Silicon Valley Bank. The action intensifies the recent Silvergate bankruptcy chaos, which has seen crypto prices crash ever since the crypto-friendly bank’s financial difficulties were made […]

Investor files class action complaint against BlockFi founders and Gemini for frozen funds

Gala Games in Turmoil: CEO and Co-Founder Engage in Legal Battle

On February 28, Trey Greene, an investor with approximately $2 million worth of funds frozen in the bankrupt cryptocurrency lender BlockFi, filed a class action complaint against its founders, two directors, and crypto exchange Gemini in the U.S. District Court for the District of New Jersey. However, Greene alleged the defendants had violated consumer fraud […]

Battle over $600 million assets intensifies as BlockFi moves to strike out bankruptcy case

Battle over $600 million assets intensifies as BlockFi moves to strike out bankruptcy case

On Thursday, BlockFi, an established crypto lender, took legal action to terminate the bankruptcy case of Emergent Fidelity Technologies. However, this is due to a rivalry concerning approximately $600 million in assets primarily owned by FTX founder Sam Bankman-Fried becoming increasingly complex. Emergent—an Antiguan shell company with 90% proprietorship belonging to Bankman-Fried—possesses 56 million shares […]

Court approves BlockFi’s plan to sell its crypto mining equipment

Court approves BlockFi plan to sell its crypto mining equipment

The bankrupt cryptocurrency lender BlockFi has been given permission by the court to auction off its cryptocurrency mining equipment as part of the company’s continuous attempts to repay its debtors. BlockFi was given permission to sell its assets in an order that was issued on January 30 in the United States Bankruptcy Court for the […]

BlockFi management’s attorney tells court: no crypto has been withdrawn since October

BlockFi management's attorney tells court: no crypto has been withdrawn since October

Contrasting it to Celsius Network, a rival crypto lender in bankruptcy proceedings, BlockFi’s executives have not withdrawn any of their cryptocurrencies since October 2020. However, this was confirmed by the company’s lawyer to a U.S Bankruptcy Court for the District of New Jersey on Monday. In November, BlockFi filed for bankruptcy after FTX’s downfall. During […]

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