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BlockFi could face bankruptcy

After FTX's collapse, BlockFi is facing bankruptcy.

By Finst News
• 2 min read
BlockFi could face bankruptcy

After the collapse of FTX BlockFi is facing bankruptcy as well. Payments were halted last week.

BlockFi's lending service is bracing for a looming bankruptcy. This was reported by the Wall Street Journal, via an insider. According to the report there is a "significant chance of loss" relative to the previously bankrupt crypto exchange FTX.

BlockFi had already taken steps

BlockFi paused payouts last week and limited activity on its platform. It is now explained that BlockFi cannot operate normally with the uncertainty around FTX. At the same time, part of the staff is already being laid off, he adds. The lending service is preparing for a potential bankruptcy.

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