The bankruptcy New Jersey filing lists Ankura Trust Company among its largest creditors, according to the tune of $729 Million, followed by FTX US at $275 millions The SEC is fourth the List, owing $30 million as a consequence of Penalties imposed earlier in the year.
BlockFi According to the company, it has $256.9 million cash in its current hands. “expected to provide sufficient liquidity” To keep the While it restructures its business, the company can get back to work. The firm’s going to focus on “recovering all obligations” You owe BlockFi By its counterparts, which includes FTXIt expects that the process will take longer than expected due to FTX’s collapse.
This afternoon, the Financial Times According to reports, pursuit also includes suing FTX Sam Bankman Fried, founder, was a successful entrepreneur the Robinhood, 7.6 percent of which he claims to own, was pledged by him as collateral to ensure payment obligations earlier in the month.
According to a report from Decrypt, the Company also plans to lay off “a large portion” of Its workers. The press release doesn’t directly mention layoffs but notes that BlockFi Are you looking to lower your expenses? “including labor costs.”
BlockFi’s platform allowed users to trade and lend cryptocurrency in the Hoffnungen of obtaining “yield,” Interest. The company laid off approximately 20 percent of Its workers blame June for their blaming the Downturn the Crypto market and agreed to pay $100m in penalties the SEC and other regulators base their decisions on it BlockFi Interest Accounts that were considered unregistered securities. BlockFi wasn’t properly registered as an investment company.
On November 14th BlockFi said it had “significant exposure” To the exchange and its “associated corporate entities,” As FTX Had given the Company obtains a credit facility of $400 million and has the Option to purchase BlockFi. BlockFi had utilized most of According to a report from, this money is worth about $1.5 billion The Wall Street Journal, after telling CNBC that it hadn’t touched it in July.
Now, FTX After a financial scandal, the company almost collapsed. Sam Bankman-Fried, founder, allegedly used customer funds to support his other business, Alameda Research. Within days, estimates of Bankman-Fried’s personal assets went from $26 billion to zero.
A stock exchange that is as big as FTX Folding was bound to have knock-on consequences for the Crypto industry in its entirety could lead to regulation the You can also expand your space. BlockFi It had been promised “the necessary liquidity to explore all options,” This is, apparently. the There is only one other option.
Update November 28, 2006, 06:40 ET Updated to include a note BlockFi’s lawsuit against Sam Bankman-Fried.