Crypto Lender BlockFi Says It’s Taken Major Step Toward Emerging From Bankruptcy

The beleaguered crypto lender was among a rash of digital asset companies that froze their customers’ accounts and eventually collapsed after FTX blew up last fall. The restructuring plan, which more than 90% of creditors approved, will enable BlockFi to recover the assets it lost to crypto exchange FTX and failed hedge fund Three Arrows […]

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As Sam Bankman-Fried’s Trial Approaches, the FTX Bankruptcy Claims Market Is Booming

According to data gathered by Matrixport, a crypto services provider that is tracking the market, the expected payout for creditor claims against FTX has surged to an average of 37 cents on the dollar, its highest since the bankruptcy filing in late 2022, and up from just over 10 cents at the start of 2023.

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Crypto Custodian Prime Trust Warns It May Lay Off 62 Employees, Nevada Records Show

Prime Trust filed for bankruptcy in August, roughly two months after Nevada regulators alleged the company was unable to meet its customers’ withdrawal requests. The company also used customer funds to invest in failed stablecoin project Terra, in addition to engaging in other dubious business practices, a court filing shows.

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Gemini Opposes Genesis Bankruptcy Plan: ‘Woefully Light on Specifics’

“Debtors have repeatedly promised that a plan that resolves claims against DCG is right around the corner, as they seek extension after extension of mediation periods, hearing dates, and bid deadlines,” the Gemini filing said. The harm to Gemini is made worse, it added, as DCG has “not paid any of the approximately $630 million […]

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BlockFi Bet Big on FTX and Alameda Even After Seeing Infamous Balance Sheet, Creditors Say

BlockFi “failed to complete basic due diligence” on Bankman-Fried’s empire, offering “special treatment for FTT and Alameda… that cast risk management principles entirely to the wind,” added the report, based on a review of 30,000 internal documents, and interviews and depositions with key individuals including founder and chief executive Zac Prince.

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Voyager Digital Plans to Liquidate Assets, Wind Down After Sale Dreams Crushed

Creditors who have any of the 67 “supported” tokens, including bitcoin (BTC) and ether (ETH), stuck on the platform will be able to withdraw the allowable percent of their crypto directly. For those with any of the 38 “unsupported tokens,” including Solana’s SOL and Algorand’s ALGO, Voyager will liquidate everything and pay customers back with […]

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