{"id":85055,"date":"2023-09-27T12:50:32","date_gmt":"2023-09-27T09:50:32","guid":{"rendered":"https:\/\/forklog.com\/en\/?p=85055"},"modified":"2025-09-12T21:01:25","modified_gmt":"2025-09-12T18:01:25","slug":"blockfi-wins-court-approval-to-implement-liquidation-plan","status":"publish","type":"post","link":"https:\/\/forklog.com\/en\/blockfi-wins-court-approval-to-implement-liquidation-plan\/","title":{"rendered":"BlockFi wins court approval to implement liquidation plan"},"content":{"rendered":"<p>BlockFi, the crypto-lending platform in bankruptcy proceedings, <a href=\"https:\/\/restructuring.ra.kroll.com\/blockfi\/Home-DownloadPDF?id1=MjU0NTc0NQ==&#038;id2=-1\">has received<\/a> court approval to implement<a href=\"https:\/\/forklog.com\/en\/news\/blockfi-creditors-urge-liquidation-of-the-company\"> plan to wind down the business<\/a>. Clients can expect to recover 35\u201363% of their outstanding debt.<\/p>\n<p>Total claims against them amount to roughly $1 billion.<\/p>\n<p>According to the documents, some recipients expect to receive payouts in Bitcoin and Ethereum. The process could be launched by the end of 2023.<\/p>\n<p>The committee representing clients and creditors backed the plan proposed by management.<\/p>\n<p>It was approved after BlockFi settled a dispute concerning potential legal claims against the company&#8217;s leadership. Creditors accused top management of ignoring warning signs before extending the loan to FTX.<\/p>\n<p>According to the committee, despite a number of issues that arose during the consideration, BlockFi is now prepared to repay clients&#8217; debt faster than other crypto firms undergoing reorganisation.<\/p>\n<p>In November 2022, the firm <a href=\"https:\/\/forklog.com\/en\/news\/blockfi-files-for-chapter-11-bankruptcy-protection\">filed for bankruptcy protection<\/a> under <a href=\"https:\/\/forklog.com\/en\/news\/why-crypto-firms-opt-for-chapter-11-bankruptcy-under-the-u-s-bankruptcy-code\">Chapter 11 of the U.S. Bankruptcy Code<\/a>. This occurred roughly two weeks after <a href=\"https:\/\/forklog.com\/en\/news\/ftx-group-files-for-bankruptcy-sam-bankman-fried-resigns-as-ceo\">the collapse of FTX<\/a> and Alameda Research. Earlier, BlockFi acknowledged that the exchange and its subsidiary had outstanding obligations to the company <a href=\"https:\/\/forklog.com\/en\/news\/judge-allows-return-of-300-million-to-blockfi-clients\">allowed BlockFi to return $300 million<\/a> to custodial-account holders.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The crypto-lending platform BlockFi, in bankruptcy proceedings, has won court approval to implement the plan to wind down the business. Clients can expect to recover 35\u201363% of the debt.<\/p>\n","protected":false},"author":1,"featured_media":85056,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"select":"1","news_style_id":"1","cryptorium_level":"","_short_excerpt_text":"","creation_source":"","_metatest_mainpost_news_update":false,"footnotes":""},"categories":[3],"tags":[1436,1162],"class_list":["post-85055","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-and-analysis","tag-blockfi","tag-court-cases"],"aioseo_notices":[],"amp_enabled":true,"views":"22","promo_type":"1","layout_type":"1","short_excerpt":"","is_update":"","_links":{"self":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/85055","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=85055"}],"version-history":[{"count":1,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/85055\/revisions"}],"predecessor-version":[{"id":85057,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/85055\/revisions\/85057"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/media\/85056"}],"wp:attachment":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/media?parent=85055"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/categories?post=85055"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/tags?post=85055"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}