1 year ago
BlockFi has responded to the controversies surrounding FTX and its reported transportation to the embattled cryptocurrency speech successful a caller connection to its users.
The crypto steadfast denied allegations that astir of its assets are connected FTX and described the rumor arsenic “false.” Though BlockFi admitted that it has a “significant exposure” to the exchange. which could origin a hold successful the betterment of the obligations owed to BlockFi by FTX.
The vulnerability entails obligations owed to BlockFi by Alameda, assets held astatine FTX.com, and undrawn amounts from the recognition enactment with FTX US.
FTX US, which primitively wasn’t expected to beryllium progressive successful immoderate fiscal rescue, was besides named successful the caller FTX bankruptcy filing.
What’s next?
Considering its adjacent people of action, the BlockFi squad pledged to pass with users done authoritative channels and research each strategical option.
The BlockFi squad confirmed that they person capable liquidity to research each options and person engaged extracurricular advisors similar Haynes and Boone to assistance them navigate the firm’s adjacent steps.
In addition, BlockFi confirmed that it is successful interaction with its partners and intends to straight supply further details connected its recognition paper programme erstwhile needed. Further, the squad disclosed however it has been moving effortlessly to support BlockFi.
BlockFi said:
“As we enactment expeditiously done this rapidly evolving situation, we are focused connected doing the utmost to beryllium transparent astir decisions related to our pause, products, and level activity.”
Side notes astir FTX and BlockFi
BlockFi precocious said it could nary longer proceed with its accustomed concern past week amidst the FTX crisis.
— BlockFi (@BlockFi) November 11, 2022
To immoderate extent, 2022 has been filled with ups and downs for BlockFi. Early this year, the crypto lender plunged into situation owed to the Celsius and Voyager bankruptcy issue. Then, successful July, the steadfast received a lifeline for FTX successful the signifier of a $250 cardinal recognition facility.
The station BlockFi has ‘significant exposure’ to FTX, denies speech of bulk of assets being custodied astatine FTX appeared archetypal connected CryptoSlate.
English (US) 