|
December 01, 2022, 11:42:42 PM |
|
This particular platform was suffering from major problems despite being one of the largest contributing platforms in the market. Since its lunch in 2017, the platform has acted like a bank, as it pays interest to its customers in exchange for deposits, and delivers those deposits in the form of loans to other corporate clients. Two days ago, the platform officially applied to the New Jersey Bankruptcy Court for bankruptcy protection, due to its inability to pay debts amounting to one billion dollars to about 100,000 creditors. This came as a direct result of the crash of the FTX exchange and the deterioration of cryptocurrency prices since then.
The platform has debts of $275 million to the FTX platform, its second largest creditor after Ankura Trust, which represents all its creditors with a value exceeding $700 million. Even the SEC owes her $30 million.
It is noteworthy that BlockFi is not the only platform that applied for bankruptcy protection, as it was preceded by Celcius Network and Voyager Digital, all companies linked to the FTX Stock Exchange, whose collapse caused them all to go bankrupt.
I didn't find any threads discussing this in this section. I think the topic is important and it should be mentioned in this section, which is considered the most active section on the forum.
|