BlockFi Receives Bankruptcy Court Approval to Repay 100% of Customer Funds

Bankrupt cryptocurrency lending firm BlockFi has received approval from the U.S. Bankruptcy Court of New Jersey to repay 100% of its customers' funds. The U.S. Bankruptcy Court for the District of New Jersey approved the plan on July 26, and the company expects asset distribution for U.S. customers to begin within 90 days, but international customers may face a longer wait.
The bankrupt crypto lender is seeking court approval to monetize a $874.50 million claim against FTX, well above par. The news comes after BlockFi reached a $874.50 million settlement in principle with FTX and Alameda Research properties, allowing plan administrators to begin planning subsequent distributions to creditors.