{"id":83051,"date":"2023-08-15T11:24:04","date_gmt":"2023-08-15T08:24:04","guid":{"rendered":"https:\/\/forklog.com\/en\/?p=83051"},"modified":"2025-09-12T08:41:35","modified_gmt":"2025-09-12T05:41:35","slug":"crypto-custodian-prime-trust-files-for-bankruptcy","status":"publish","type":"post","link":"https:\/\/forklog.com\/en\/crypto-custodian-prime-trust-files-for-bankruptcy\/","title":{"rendered":"Crypto custodian Prime Trust files for bankruptcy"},"content":{"rendered":"

The crypto custodian Prime Trust filed a petition<\/a> for bankruptcy under Chapter 11<\/a> of the United States Code in a Delaware court.<\/p>\n

According to the filing, the platform has between 25,000 and 50,000 creditors. Its liabilities are estimated at $100-500 million with assets of $50-100 million.<\/p>\n

The five largest creditors have claims totaling about $105 million, including the largest claim of $55 million.<\/p>\n

\\\"8c877de3-1768-4705-90ce-12763f21f237\\\"
Largest claims against Prime Trust. Data: Stretto.<\/figcaption><\/figure>\n

\\n<\/p>\n

\\u201cThe company intends to file a number of petitions in bankruptcy court to facilitate an orderly assessment of all strategic alternatives, including a possible sale of assets and operations,\\u201d the accompanying press release<\/a> said.\\u201d<\/p>\n

\\n<\/p><\/blockquote>\n

Prime Core Technologies Inc., Prime Trust, LLC, Prime IRA LLC and Prime Digital LLC were named as petitioning organizations.<\/p>\n

In June, the Nevada Department of Business and Industry ordered<\/a> Prime Trust to freeze deposits and withdrawals. The regulator cited a \\”capital shortfall,\\” which prevented the firm from fully meeting customers\\’ requests to withdraw assets.<\/p>\n

Subsequently the department filed<\/a> a petition to bar the crypto custodian from any business operations. In July the court ordered<\/a> the company to commence bankruptcy proceedings and appointed a trustee, John Gedri, the president of Bank of Nevada.<\/p>\n

Additionally, the Department of Business and Industry filed a bid to acquire the organization and freeze all of its enterprises. The document was filed a few hours after BitGo withdrew<\/a> from the deal to acquire the crypto custodian<\/a>.<\/p>\n

Banq, a payments company linked to Prime Trust, also filed<\/a> for bankruptcy.<\/p>\n","protected":false},"excerpt":{"rendered":"

Prime Trust filed a bankruptcy petition under Chapter 11 of the United States Code in a Delaware court.<\/p>\n","protected":false},"author":1,"featured_media":83052,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"select":"1","news_style_id":"1","cryptorium_level":"","_short_excerpt_text":"Prime Trust files for Chapter 11 bankruptcy in Delaware.","creation_source":"","_metatest_mainpost_news_update":false,"footnotes":""},"categories":[3],"tags":[1300,2226],"class_list":["post-83051","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-and-analysis","tag-bankruptcy","tag-prime-trust"],"aioseo_notices":[],"amp_enabled":true,"views":"28","promo_type":"1","layout_type":"1","short_excerpt":"Prime Trust files for Chapter 11 bankruptcy in Delaware.","is_update":"","_links":{"self":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/83051","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/comments?post=83051"}],"version-history":[{"count":1,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/83051\/revisions"}],"predecessor-version":[{"id":83053,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/83051\/revisions\/83053"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/media\/83052"}],"wp:attachment":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/media?parent=83051"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/categories?post=83051"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/tags?post=83051"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}