A document shows that U.S. Bankruptcy Judge Michael A. Kaplan approved BlockFi’s third revised Chapter 11 bankruptcy plan at a court hearing on September 27. The repayment amount received by BlockFi’s unsecured creditors will be significantly higher. The extent depends on whether BlockFi can succeed in its legal battles with FTX and other bankrupt crypto companies.
BlockFi is estimated to owe up to $10 billion to more than 100,000 creditors, including $1 billion to its three largest creditors and $220 million to bankrupt crypto hedge fund Three Arrows Capital.
