- BlockFi has emerged from bankruptcy, allowing the company to begin repaying creditors and distributing assets back to clients per the approved restructuring plan.
- Key actions in the plan include attempting to recover assets from FTX and others, continuing to distribute digital assets to clients, and finalizing accurate client claims.
- Clients should withdraw funds when available, watch for emails from BlockFi, and respond to all official communications as distributions continue over the next 1-2 years.
BlockFi has emerged from bankruptcy and can begin enacting its restructuring plan. This is an important milestone that will allow the company to repay creditors and distribute assets back to clients.
Details of the Bankruptcy Plan
The bankruptcy plan approved by the court outlines several key actions BlockFi will take going forward:
- Attempt to Recover Assets from FTX, 3AC, and Other Bankrupt Firms – Success could increase client recoveries
- Continue Distributing Digital Assets Back to Clients – Including assets owed to BIA holders
- Finalize Client Claims – Ensure claims are accurate so clients receive fair distributions
Timing for Client Distributions
Wallet Customers – Withdrawals are available now, submit requests before Dec 31, 2023
BIA and Loan Customers – Initial distribution expected in early 2024, more details coming soon
Additional distributions will depend largely on recoveries from the FTX bankruptcy case
What Clients Need to Do
- Wallet Customers – Withdraw now before the window closes
- BIA and Loan Customers – Watch for emails to withdraw funds per recovery amounts
- Respond to all emails from BlockFi or Kroll – Official communications only
BlockFi remains committed to keeping clients informed as we enter this new chapter. While there is still work ahead, emerging from bankruptcy marks an important step forward.
