Cryptocurrency lender BlockFi files for bankruptcy

The crypto-landing platform BlockFi has announced its own collapse — BlockFi and eight of its subsidiaries have filed for bankruptcy protection. According to BlockFi, the company still has $ 256.9 million in capital despite the cessation of operations.

The problems of the cryptocurrency lender began after the collapse of Terraform Labs and reached a maximum after the bankruptcy of FTX. Immediately after Сем Бенкман-Фрід" href="https://noworries.media/biography/sem-benkman-frid/" data-bio-id="3697">Bankman-Fried announced the collapse of its exchange, BlockFi suspended withdrawals and deposits on its platform. Representatives of BlockFi admitted that they had significant influence on FTX, related corporate organizations and owned assets stored on FTX.

As Cointelegraph journalists have found out, the crypto lender is currently searching for and collecting debts, and one of the first companies to return funds to BlockFi is Sam Bankman-Fried's investment platform Emergent Fidelity Technologies. BlockFi wants to get its stake in Robinhood.

BlockFi is not the only cryptocurrency platform whose problems have worsened after the FTX bankruptcy. Yesterday, the Bitfront exchange, which was founded by the leading East Asian social network LINE, announced its closure. After March 31, 2023, the withdrawal of digital assets will become unavailable, and user data and accounts will be permanently deleted.

However, there are companies whose owners are trying to cover their tracks, including the AAX exchange. The platform recently stopped all operations with digital assets and deleted its official accounts on Youtube and Facebook. This probably indicates that AAX has gone bankrupt, although there has been no official announcement from the company yet.