BlockFi Recovers from Bankruptcy as FTX Reclaims Assets: BlackRock and Worldcoin Make Major Moves
Summary:
This news report focuses on BlockFi's emergence from bankruptcy and the success of FTX in regaining around $7 billion in assets. It also looks at the options FTX is considering to revive their platform. BlackRock's developments towards a Bitcoin exchange-traded fund (ETF) and reforms in Worldcoin's method of payment are further topics covered. Finally, the article highlights the delivery of funds back to customers by crypto companies after bankruptcy, the Ledger's cloud-based private key recovery tool, and Worldcoin’s decision to pay Orb operators in its native token.
This week, BlockFi, a crypto lending firm, announced its recovery from financial difficulties. This comes just days after similar announcements from FTX - the company has successfully recovered about $7 billion worth of assets. The management of FTX, one of BlockFi's substantial debtors believed to have diverted $8.7 billion from clients, is pondering the future direction of the company, including sale possibilities or merging with another entity. Meanwhile, BlockFi, one of the most substantial creditors of the exchange, has no choice but to cease operations as indicated in its legal documents.
This week's Crypto Biz analyzes BlockFi's financial recovery, BlackRock’s advancement in developing a Bitcoin exchange-traded fund (ETF), and alterations in Worldcoin's approach to payments.
Creditors of some of the bankrupt companies from 2022's crypto market downturn are finally seeing a silver lining. About a year after declaring bankruptcy, firms such as FTX and BlockFi are beginning to reimburse their client's funds.
According to Eric Balchunas, a Bloomberg ETF analyst, BlackRock's Bitcoin ETF proposal has been added to the Depository Trust & Clearing Corporation’s listing, indicating possible endorsement by the U.S. Securities and Exchange Commission. Balchunas noted that BlackRock might already have the SEC's go-ahead for this ETF listing, or at least preparing for it.
BlockFi has emerged from financial distress and is set to pay some of its creditors, as stated in a blog post on October 24. The amount of funds dispersed will mainly depend on its triumph in the FTX insolvency lawsuit and its ability to reclaim assets from other companies believed to owe it money.
Despite harsh criticism from the crypto community, Ledger is offering its cloud-based private key recovery tool. The service allows users to back up their secret recovery phrase and is available as part of a paid subscription.
Worldcoin plans on discontinuing payments in USD Coin (USDC) to its Orb Operators by next month, choosing instead to use its native Worldcoin (WLD) token. The company said that the switch to WLD is part of a transitional phase since the project's official launch on July 24.
Crypto Biz brings the latest happenings behind the business of blockchain and crypto directly to your inbox every Thursday.
Published At
10/28/2023 3:15:00 PM
Disclaimer: Algoine does not endorse any content or product on this page. Readers should conduct their own research before taking any actions related to the asset, company, or any information in this article and assume full responsibility for their decisions. This article should not be considered as investment advice. Our news is prepared with AI support.
Do you suspect this content may be misleading, incomplete, or inappropriate in any way, requiring modification or removal?
We appreciate your report.