BlockFi’s restructuring is progressing gradually: the company has announced that the US District Court of New Jersey has conditionally approved the disclosure statement.
Yesterday, BlockFi and the Unsecured Creditors Official Committee held a meeting. joint statementurges all eligible voters to accept the plan by the September 11 deadline. Plan approval Effectively resolve Chapter 11 cases and facilitate the return of client funds.
Once the bankruptcy plan is approved, the lender said it will focus on recovering funds from several bankrupt companies, including Alameda Research, FTX, Three Arrows Capital, Emergent, Marex and Core Scientific. The main goal is to optimize customer refunds while combating third-party claims that can significantly reduce customers’ assets.
According to the announcement, the plan offers customers the opportunity to: obtaining a consent if they do not choose a voluntary third-party consentexempts them from all claims and lawsuits BlockFi may bring against them. This release is applicable to most customers except those who have withdrawn $250,000 or more from their BlockFi Interest Account (BIA) or BlockFi Private Client (BPC) Account as of November 2, 2022.
Also under the plan, BlockFi will not reimburse any amounts below $250,000 that customers successfully transferred from BIAs or BPCs to the BlockFi Wallet and withdrawn from the Wallet before the platform was suspended on November 10, 2022. Customers with claims below $3,000, or those who choose to reduce their claims to $3,000, will be in the qualifying claims class and will receive a one-time cash distribution equal to 50% of their receivables from BlockFi’s assets.
In June, the US Securities and Exchange Commission agreed to defer payments. Collection of $30 million fine from bankrupt crypto lender to full repayment of creditors. this amount It is the remaining balance of the $50 million agreement reached with the regulator in February 2022..
Translation of Walter Rizzo