Billion

In a significant development, crypto lender BlockFi has reached an “in principle” agreement with the estates of bankrupt FTX and its trading arm Alameda Research to settle nearly <a href="https://bitcoinist.com/ftx-blockfi-given-green-light-negotiate-settlement/" target="_blank" rel="noopener ">$1 billion in claims</a>.&nbsp; 
The settlement, outlined in a recent court filing, marks a pivotal moment for BlockFi’s recovery efforts and its clients’ potential for maximum asset recovery. 
 The successful resolution of these claims, alongside the defense against FTX’s avoidance claims and counterclaims, significantly impacts BlockFi’s customer recoveries and paves the way for the proposed reorganization plan. 
<h2 id="blockfi-to-receive-maximum-value-on-customer-claims">BlockFi To Receive Maximum Value On Customer Claims</h2> 
According to the <a href="https://storage.courtlistener.com/recap/gov.uscourts.njb.1094078/gov.uscourts.njb.1094078.2172.0.pdf" target="_blank" rel="noopener nofollow">agreement</a>, BlockFi will receive an allowed customer claim of $185.2 million against FTX.com, representing the full value of its assets on the FTX exchange as of the FTX petition date.&nbsp; 
In addition, BlockFi will have a $689.3 million claim against Alameda Research for loans made, of which $250 million will be treated as a secured claim. Any claims asserted by FTX against BlockFi to reduce or offset these amounts will be waived, which means that the failed crypto exchange will give up its right to pursue or assert the claim, and FTX has agreed to waive or subordinate any other claims against BlockFi. 
The settlement relieves BlockFi by ensuring that <a href="https://bitcoinist.com/blockfi-customers-ftx/" target="_blank" rel="noopener ">FTX </a>recognizes the full amount owed, enabling the maximum value to be received for BlockFi’s claims. The agreement also secures the $250 million secured claim, ensuring an expedited cash payment shortly after FTX’s plan is confirmed and effective. 
According to the filing dated March 6, the resolution of the FTX claims, achieved within six months of the Effective Date, allows the Plan Administrator to release a substantial portion of the litigation reserve, further enhancing BlockFi customer recoveries in an anticipated second interim distribution.&nbsp; 
<h2 id="ftx-founder-s-legal-troubles">FTX Founder’s Legal Troubles</h2> 
While BlockFi <a href="https://bitcoinist.com/blockfi-emerges-from-bankruptcy/" target="_blank" rel="noopener ">emerges from bankruptcy</a> with a favorable outcome for its customers, the recent legal proceedings against FTX founder Sam Bankman-Fried have cast a shadow over the cryptocurrency exchange.&nbsp; 
Following a five-week trial, <a href="https://bitcoinist.com/sam-bankman-fried-cites-autism-disorder/" target="_blank" rel="noopener ">Sam Bankman-Fried</a> was found guilty of all seven counts of defrauding his customers and lenders. The charges carry a potential conviction of up to 110 years in prison, underscoring the severe legal consequences faced by prominent figures in the crypto industry. 
As the FTX plan progresses and additional distributions are prepared under BlockFi’s confirmed Chapter 11 plan, the Plan Administrator will continue to monitor the proceedings and provide updates to customers.&nbsp; 
Ultimately, the crypto lender’s emergence from bankruptcy and the <a href="https://bitcoinist.com/blockfi-to-convert-trade-only-assets-to-stablecoins/" target="_blank" rel="noopener ">resolution </a>of its claims against FTX and Alameda Research marks a significant turning point for the company and its customers. 
<img loading="lazy" decoding="async" class="size-large" src="https://www.tradingview.com/x/fURc6Z3F/" alt="BlockFi" width="1815" height="858"> 
As of the latest update, FTX’s native token, FTT, is currently trading at $2.59, halting its significant upward trend observed over the past month, experiencing a 3% correction in the last 24 hours. However, the token has shown noteworthy gains over the past fourteen and thirty-day periods, with increases of over 46% and 62%, respectively. 
Featured image from Shutterstock, chart from TradingView.com

BlockFi Resolves Dispute With FTX And Alameda Research For Nearly $1 Billion

목차

Bitcoinist

2024년 3월 7일에 게재된 다른 기사

Daily Market Review: BTC, ETH, FET, RNDR, NEAR

Stellar (XLM) and Cardano (ADA) Brace for Impact as Raffle Coin (RAFF) Mega Presale Takes Center ...

Satoshi’s Prophecy: Another Bank Plummets While Bitcoin Soars

Laser Digital Joins Forces with Pyth Network to Enhance DeFi Data Accuracy

Bitcoin Options Indicate Bullish Momentum as Expiry Approaches

Altseason is coming — Or at least data suggests that it’s close

무료 뉴스레터에 가입하여 매일 최신 암호화폐 소식을 받아보세요!