BlockFi bankruptcy administrator reaches settlement with U.S. Department of Justice, dismissing $35.00 million lawsuit
Powered by ChatGPTOn July 12, BlockFi's bankruptcy administrator and the United States Department of Justice (DOJ) reached an agreement to dismiss a lawsuit involving the transfer of $35,000,000.00 in crypto assets. New Jersey Bankruptcy Court Judge Michael B. Kaplan approved the agreement on Friday. The case stemmed from 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 $10,000,000,000.00, and has set April 28, 2024 as the deadline for customers to withdraw their remaining crypto assets. (Cointelegraph) [BlockBeats]