BlockFi, a bankrupt crypto lender, is attempting to recover assets to settle its customers as part of its bankruptcy proceedings. The company is standing firm that its customers should take priority over fellow bankrupt company FTX. BlockFi has objected to FTX’s claims on several grounds, including the fact that it alleges that the latter’s claims are baseless and lack merit. The company further alleges that FTX shouldn’t be allowed to profit from its wrongs and take precedence over its “ultimate victims,” who are BlockFi’s customers and creditors.BlockFi has objected to each of FTX’s claims in its “entirety.” The crypto lender claims that the exchange hasn’t laid sufficient facts to support its claims and has failed to discharge the burden of proof placed on it. According to a petition filed by BlockFi, it owes over 100,000 creditors, including Ankura Trust Company and West Realm Shires Inc., owed over $729 million and about $275 million, respectively. The crypto lender also owes the United States Securities and Exchange Commission (SEC) $30 million in unsecured claims.Earlier this month, creditors received some much-needed good news when BlockFi announced that it had received conditional approval from the court to move forward with its repayment plan. The first part of its plan is to recover funds from its creditors, including FTX, Emergent, and Alameda.
| Information |
Details |
| Geography |
North America |
| Countries |
|
| Sentiment |
neutral |
| Relevance Score |
8 |
| People |
Ankura Trust Company, West Realm Shires Inc., SEC, FTX, Alameda. |
| Companies |
BlockFi, FTX, Three Arrows Capital, Ankura Trust Company, West Realm Shires Inc., United States Securities and Exchange Commission (SEC) |
| Currencies |
None |
| Securities |
None |
