Bankruptcy Judge Approves $300M Payment to BlockFi Customers
The issue of returning customers’ funds to them has been ongoing for several months. During BlockFi ’s first court appearance in Trenton, New Jersey after the collapse of FTX, the exchange requested consent to continue its operations while it tries to figure out a way to pay back all affected customers. BlockFi was optimistic about finding a potential buyer which would influence the refund process. advertisement At the same time, BlockFi made attempts to recover funds owed by other cryptocurrency exchanges. One of such significant funds was the $400 million given to FTX sister trading company Alameda Research . Sad Reality for BlockFi Interest Account Holders BlockFi’s interest-bearing account holders, otherwise known as BIA we’re given sad news. While the court has declared that the funds in the custodial wallets are meant for customers, Judge Michael Kaplan ruled against repaying another $375 million which customers tried to wit...