• BlockFi said it will file a financial breakdown on Wednesday, Jan. 11, including Schedules of Assets and Liabilities and a Statement of Financial Affairs.
• BlockFi executives have not withdrawn any crypto holdings since the company’s bankruptcy filing in November.
• BlockFi repaid an investor $15 million to preempt a threatened lawsuit last year.
BlockFi, the lending company, recently announced that it will provide a breakdown of its finances as their bankruptcy hearing proceeds. This comes after the company held a hearing on Jan. 9 to determine their financial status. They have promised to file their Schedules of Assets and Liabilities, as well as their Statement of Financial Affairs, on Wednesday, Jan. 11.
In order to provide accurate information, BlockFi has noted that none of the company’s executives have withdrawn any of their crypto holdings since the company filed for bankruptcy in November. This is a stark contrast to the behavior of the executives at Celsius, many of whom withdrew assets prior to the halt of their services.
In addition, BlockFi repaid an investor $15 million to preempt a threatened lawsuit last year. Joshua Sussberg, the lawyer for the firm, stated that the investor had complaints regarding the delay of payments.
Overall, BlockFi’s recent statement and actions are a positive sign that the company is trying to be as transparent as possible in its bankruptcy proceedings. By providing a detailed financial breakdown, the company is giving creditors, investors, and other stakeholders the information they need to make informed decisions. It is yet to be seen how this will affect the bankruptcy case, but it certainly shows that BlockFi is taking the matter seriously and working hard to ensure that its creditors are treated fairly.