BlockFi Announces Bankruptcy Plan Taking Effect, Will Repay Creditors According to Relevant Terms

According to official news, BlockFi has announced that its bankruptcy plan became effective on October 24, 2023. BlockFi's management, advisors, and other stakeholders have been working diligently for the past 11 months to reach this crucial milestone, doing so faster and more efficiently than many other retail-focused crypto companies.

Following the emergence, BlockFi can now formally commence the execution of the detailed plan, which includes repaying its creditors according to the terms of the plan. The company will also be allowed to take the following actions:

• Recovery: Attempting to recover assets from companies like FTX, 3AC, and others, as well as their bankruptcy estates, which BlockFi believes are owed to them. The success of this litigation may increase compensation for customers.

• Withdrawals: Continuing to distribute digital assets back to customers, including BIA account holders.

• Claims: Continuing the claims verification process to ensure that customer claims accurately reflect the asset categories and amounts and to ensure fair distribution of remaining and recovered assets to customers.