BlockFi files for bankruptcy, latest crypto company to fail

Published November 28, 2022 1:16 PM

By KEN SWEET and MICHELLE CHAPMAN
The Associated Press

Cryptocurrency lender BlockFi filed for Chapter 11 bankruptcy protection Monday, the latest casualty of the collapse of crypto exchange FTX. New Jersey-based BlockFi had been struggling for much of this year, but was given a lifeline this summer in the form of an FTX line of credit. FTX’s own bankruptcy, however, all but sealed BlockFi’s financial fate. BlockFi suspended withdrawals after FTX’s failure, and it had hired bankruptcy specialists in recent days. BlockFi was one of several crypto currency lenders to pop up in recent years. The company gave loans to customers using their crypto assets as collateral.

Article Topic Follows: AP National Business

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