BlockFi bankruptcy administrator reaches settlement with U.S. Department of Justice, dismissing $35.00 million lawsuit

On July 12, Cointelegraph reported that BlockFi's bankruptcy administrator has reached an agreement with the United States Department of Justice (DOJ) to dismiss a lawsuit involving the transfer of $35.00 million in crypto assets. New Jersey Bankruptcy Court Judge Michael B. Kaplan approved the agreement on Friday. The case originated in May 2023, when the DOJ attempted to seize funds in BlockFi accounts belonging to two Estonian citizens, claiming it was related to a criminal fraud case. According to the settlement terms, the case was "dismissed with prejudice," with each party bearing its own legal fees. It is worth noting that BlockFi declared bankruptcy in November 2022 after the FTX collapse, currently owes approximately 100,000 creditors a total of $10.00 billion, and has set April 28, 2024 as the deadline for customers to withdraw their remaining crypto assets. [Deep Tide TechFlow]