$400 MILLION in donations to the democratic party! FTX? You don't say!
There's a deep rabbit hole of corruption and what would it be without some conspiracy theories. We all know the FTX contagion is going to go on for a long time. We are talking something like $50 Billion in contagion.
Looks like legacy does know how to manipulate the crypto market!
This from in from BLOCKFi! I signed up but never deposited anything because I just wasn't comfortable lending out my BTC for these exact reasons. I was told never sell your #BTC (unless you are trading).
Dear Bear,
We know the past few days have been incredibly difficult for you. We are deeply saddened to see the devastation that is cascading across an industry that we love and believe in, touching the lives of so many people. Our top priority remains doing the best we can for our clients.
After everything we accomplished this summer to protect BlockFi, last week’s news regarding FTX was unexpected for us at BlockFi and for so many others. We are working around the clock to evaluate all of our available options.
Where do things stand today?
We determined late last week that in the current environment we could no longer operate our business as usual. Given that FTX and its affiliates are now in bankruptcy, the most prudent decision for us, in the interest of all clients, is to continue to pause many of our platform activities for now.
The rumors that a majority of BlockFi assets are custodied at FTX are false. That said, we do have significant exposure to FTX and associated corporate entities that encompasses obligations owed to us by Alameda, assets held at FTX.com, and undrawn amounts from our credit line with FTX US. While we will continue to work on recovering all obligations owed to BlockFi, we expect that the recovery of the obligations owed to us by FTX will be delayed as FTX works through the bankruptcy process.
At this time, withdrawals from BlockFi continue to be paused. We also continue to ask clients not to submit any deposits to BlockFi Wallet or Interest Accounts.
Regarding our credit card product, BlockFi relies on partners to deliver the credit card product and distribute rewards. Customers may have received communication that didn't originate from BlockFi, but from our partners, Evolve Bank and Deserve. We are working with our partners and intend to directly provide further details on our credit card program as and when appropriate.
What’s next?
There are a number of scenarios that may be available to us, and we are doing the work now to determine the best path forward. BlockFi has the necessary liquidity to explore all options and we have engaged expert outside advisors that are helping us navigate BlockFi’s next steps. Haynes and Boone continues to serve as our primary outside counsel, and BRG has been engaged as our financial advisor.
As we work expeditiously through this quickly evolving situation, we are focused on doing the utmost to be transparent around decisions related to our pause, products, and platform activity.
Across BlockFi, our team is working tirelessly towards our primary objective of maximizing value for all of our clients, and that will see us explore every strategic option available to us.
We will do our best to communicate through our official channels as often and transparently as possible going forward but expect these explorations may take time. We appreciate your patience during this period.
The BlockFi Team
Stay safe people! Crypto is not for the faint of heart. I will still continue the course as I'm going through my second bear market. Let's keep it going and let the fools get liquidated!