BlockFi Judge Urged to Greenlight $13 Million Settlement After Final Objection Withdrawn

Plaintiffs are urging the judge overseeing BlockFi’s bankruptcy case to approve a proposed $13 million settlement now that the final objector has withdrawn their opposition. This settlement signifies a crucial step in BlockFi’s restructuring process, with the aim of compensating some creditors impacted by the company’s collapse. This move follows extensive and complex negotiations between BlockFi and a group of affected creditors. Lawyers argue that this settlement is equitable and reasonable, presenting the best opportunity for creditors to recover a portion of their funds. The decision seeks to avoid further costly and protracted litigation, which could further deplete the company’s assets. Creditors are now awaiting the judge’s decision, which is expected to be issued in the coming days. If the settlement is approved, it will pave the way for further steps in the restructuring process and potentially lead to the distribution of some remaining assets to creditors.