Bankrupt BlockFi Gets Court’s Backing, Enables Withdrawal for US Customers

BlockFi,
the cryptocurrency lending firm that declared bankruptcy in November last year,
has secured the bankruptcy court’s approval to permit its users to withdraw
their digital assets. Earlier today (Thursday), BlockFi
opened the
withdrawal service nine months after blocking the feature on its platform.
However, the service is only currently available to customers in the United
States.

BlockFi
disclosed the opening of crypto withdrawals in a post published on X, noting
that the move “is an important step forward toward our goal of returning funds
to clients.”

“We
encourage all clients to check their email or BlockFi app to see if they are
eligible at this time,” the firm stated in the post. “We expect
more clients, including international clients, to become eligible to withdraw
digital assets from their wallet accounts as we move
forward in the court process.”

Earlier today, we opened withdrawals of digital assets from BlockFi Wallet accounts for eligible clients in accordance with the authorization provided by the Court in the Wallet Order: https://t.co/wOc3Fk0VpH

— BlockFi (@BlockFi) August 17, 2023

Some
customers of the bankruptcy
Bankruptcy

Bankruptcy or insolvency constitutes a legal term and refers to being unable to repay debts. A business and a person can declare bankruptcy. When a person or company claims bankruptcy, it is described as a voluntary bankruptcy, and when your debtors force you into bankruptcy, it is referred to as involuntary. A voluntary bankruptcy occurs when the debtor or borrower, the party that owes the money files with the courts. Involuntary bankruptcy happens when your credits file a petition with the co

Bankruptcy or insolvency constitutes a legal term and refers to being unable to repay debts. A business and a person can declare bankruptcy. When a person or company claims bankruptcy, it is described as a voluntary bankruptcy, and when your debtors force you into bankruptcy, it is referred to as involuntary. A voluntary bankruptcy occurs when the debtor or borrower, the party that owes the money files with the courts. Involuntary bankruptcy happens when your credits file a petition with the co
Read this Term digital asset lender also took to Twitter to
express delight at being able to withdraw their funds. However, others
expressed frustration at being unable to do so.