US court plans to approve BlockFi’s liquidation plan
Judge Michael Kaplan plans to approve BlockFi’s liquidation plan. Therein, some clients will receive partial compensation in Bitcoin (BTC) or Ethereum (ETH). Depending on the outcome of BlockFi’s legal battle with FTX exchange and Three Arrows Capital (3AC) hedge fund, unsecured creditors may receive between 35% and 63% of their funds by the end of 2023. The exact amount of compensation is uncertain and could potentially be affected by up to $1 billion. According to reports on Sep. 26, Michael Kaplan also said he will reject the objections raised by the U.S. Department of Justice’s bankruptcy watchdog regarding the termination of BlockFi’s senior management in the liquidation plan. You might also like: BlockFi battles FTX, 3AC in court over repayment claims On Nov. 11, 2022, BlockFi suspended withdrawals following the turmoil in FTX and Alameda Research. A few days prior, Flory Marques, the platform’s founder, had reassured clients t...