The crypto lender BlockFi who files for bankruptcy last year after the collapse of FTX, now won approval to start back it's auctioning mining. 
 
The crypto-lender BlockFi was in the brink of collapse since July 
and the firm had been going through Financial crisis that cause the reducing of its staffs about 40%. In help not to go into bankruptcy, FTX  extended a credit of $400 million to BlockFi in July.
 


The two firms have a strong relationship that is complicated, imagine BlockFi claimed having over $1.2 billion worth of assets with FTX and still getting credit from the firms, I think this is complicated. 

FTX collapse last November and the suddenly drop in cryptocurrency caused by FTX failure also caused a liquidity crunch for BlockFi. BlockFi was then forced to suspend client withdrawals on it platforms and close some other activities. 

![images  20230121T034153.522.jpeg](https://i.imgur.com/y739Hou.jpg) *pixabay*

BlockFi files for chapter 11 bankruptcy that also affect some other crypto under it operation. The crypto lender BlockFi files that its asset withhold with its liabilities were in the range of $1- $10 billion and also owed more than 90,000 creditors.  Later when the hearing proceeds courts show blockchain owes FTX $275 million, I think that's the amount remain to paid back to FTX out of $400 credit obtained in July. 

In December after filled for bankruptcy, BlockFi gives access to some customers to make with withdraw as part of bankruptcy proceedings. However, in earlier January the cryptocurrency lender approached over 106 buyers to sell a part of its business to be able to maintain and back its operation. 

BlockFi will sell part of its business before the court by march, but still confused about the assets worth over $1.2 billion on FTX. Where is the assets? Well, that is the reason why I said the relationship is complicating. 

According to BlockFi's lawyer, Petrie Francis, said during hearing on Monday that they've received interest for the sale, and if agreement reach they'll sell all or part of the company.



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