BlockFi, a centralized cryptocurrency lender, has recently closed its web platform and chosen Coinbase as its partner for facilitating customer fund withdrawals. This decision is part of BlockFi's effort to facilitate a smooth transition for eligible customers following the shutdown of its platform.
BlockFi Chooses Coinbase as Its Exclusive Affiliate
In line with the company's press statement on the subject, after the withdrawal request deadline of April 28, 2024, qualified BlockFi clients will be able to access their cryptocurrency withdrawals through Coinbase.
If customers who are eligible for cryptocurrency do not yet have an open and approved Coinbase account, or if they missed the deadline for withdrawals or did not finish the identity verification process by Friday, May 10, then their assets will be made available for withdrawal in kind. Clients' in-kind distribution may be converted to cash as scheduled if they decide not to open an authorized Coinbase account.
also should be mentioned that the cryptocurrency lender will only work with Coinbase on cryptocurrency disbursements, and also cautions users about possible scams from unapproved parties that could target BlockFi users.
Moreover, in May 2024, the BlockFi online platform will cease operations forever. In the next weeks, clients will get separate information regarding the precise date.
BlockFi urges all of its clients to download the necessary data from the platform before to the shutdown date in order to guarantee the preservation of their transaction history, tax forms, and other crucial information.
Distributions To Wallet Owners Are Now In Progress
After applying for Chapter 11 bankruptcy protection in the US District of New Jersey, BlockFi decided to close its online platform. The activities of the corporation were affected by the collapse of the Three Arrows Capital (3AC) hedge fund, posing complications.
BlockFi, on the other hand, has been aggressively pursuing payment recovery from FTX and other counterparties, even going so far as to strike a settlement with the insolvent cryptocurrency exchange and the Alameda Research estates to resolve significant claims.
Despite the bankruptcy process, BlockFi's CEO, Zac Prince, says the company is still focused on maximizing value recovery for its customers.
According to Prince, those who have BlockFi wallet accounts have already received distributions, and those who have interest accounts should anticipate receiving payments after money is retrieved from the FTX estate.
The founder of the lender has stated that he feels a sense of closure and is prepared to take on new professional challenges in light of the ongoing estate distributions and encouraging developments in Financial Technology Estate Recovery.
Prince claims to have maintained a sizeable portion of his own cryptocurrency at the business, but he gave up recovery rights to expand the recovery pool for customers. He also promised to continue working without compensation to support the BlockFi estate.
May 2024, Cryptoniteuae