1 year ago
The justice overseeing BlockFi’s ongoing bankruptcy lawsuit agreed contiguous to reappraisal a petition that could spot 56 cardinal Robinhood shares moved to a neutral location, according to a study from the Wall Street Journal connected Dec. 28.
The justice has not yet agreed to determination the assets to a neutral account. The substance volition beryllium decided astatine an upcoming tribunal proceeding adjacent month.
If BlockFi’s petition succeeds, the shares would beryllium held successful a broker oregon escrow relationship until tribunal proceedings find who really owns the disputed shares.
BlockFi believes that it should ain the Robinhood shares due to the fact that of its anterior dealings with FTX and Alameda Research. Just anterior to FTX’s illness successful November, Alameda pledged the shares to BlockFi arsenic indebtedness collateral. BlockFi has been trying to get and merchantability the shares since its ain bankruptcy proceedings began connected Nov. 28.
However, BlockFi is conscionable 1 entity contending for ownership of the Robinhood shares, and proceedings are taking spot crossed aggregate jurisdictions. That means the quality whitethorn not beryllium settled successful a straightforward manner.
Last week, FTX and Alameda Research took steps to unafraid ownership of the shares. Additionally, FTX CEO Sam Bankman-Fried and capitalist Yonathan Ben Shimon are each attempting to summation power of the shares astatine a idiosyncratic level.
The disputed shares are presently held by Emergent Fidelity Technologies, a holdings institution 90% owned by Bankman-Fried. The steadfast originally purchased the shares successful May connected behalf of Bankman-Fried. At that time, the shares were worthy $482 million.
The station Disputed Robinhood shares whitethorn beryllium moved to neutral relationship astatine BlockFi’s request appeared archetypal connected CryptoSlate.
English (US) 