Friday, March 31, 2023
  • Login
  • Register
btclive365.com
  • Home
  • Cryptocurrency News Today
  • Bitcoin (BTC)
  • Altcoins
  • Blockchain
  • Crypto Mining
  • CryptoCurrency Predictions
  • Defi
  • Dogecoins
  • Earn Crypto
  • Ethereum (ETH)
  • Forex Trading
  • ICO
  • Litecoin ( LTC )
  • NFT
  • Ripple
  • Trend cryptocurrency
No Result
View All Result
  • Home
  • Cryptocurrency News Today
  • Bitcoin (BTC)
  • Altcoins
  • Blockchain
  • Crypto Mining
  • CryptoCurrency Predictions
  • Defi
  • Dogecoins
  • Earn Crypto
  • Ethereum (ETH)
  • Forex Trading
  • ICO
  • Litecoin ( LTC )
  • NFT
  • Ripple
  • Trend cryptocurrency
No Result
View All Result
btclive365.com
No Result
View All Result
Home Bitcoin (BTC)

Blockfi Pauses Customers Withdrawals, Cites ‘Lack of Clarity’ on FTX’s Status as Cause – News Bitcoin News

btclive365 by btclive365
November 11, 2022
in Bitcoin (BTC)
0
0
SHARES
0
VIEWS
Share on FacebookShare on Twitter


Blockfi, a cryptocurrency lending platform, has announced that it is limiting the operations of its platform and pausing customer withdrawals. The company issued a letter where it states that this decision was caused by the “lack of clarity” on the current state of FTX, which had previously announced an investment of $250 million in the platform to bolster its balance sheet.

Blockfi Limits Platform Activity, Pauses Customer Withdrawals

Blockfi, one of the leading cryptocurrency lending platforms, announced on Nov. 10 at 8:16 p.m. (ET) it was limiting the activity on its platform and pausing customer withdrawals as a result of the liquidity crunch that FTX has been experiencing. The company cited the “lack of clarity” of the status of the exchange as the main reason behind this resolution.

In an announcement, the company explained they found out about the FTX situation on Twitter, feeling “shocked and dismayed” by the development of this issue. Furthermore, the company declared that it couldn’t continue operating normally, communicating it was limiting its services until further notice.

The company had previously informed that transactions slated to happen on Nov. 11 were going to be delayed to Nov 14 due to its banking partner, Silvergate Bank, observing the federal holiday of Veterans Day.

Finally, Blockfi stated that it will keep customers informed about further developments. The news follows the statements made by Blockfi co-founder Flori Marquez. “All Blockfi products are fully operational,” Marquez tweeted on Nov. 8, 2022. “Blockfi is an independent business entity. We have a $400MM line of credit from [FTX US] (not FTX.com) and will remain an independent entity until at least July 2023,” Marquez added.

FTX’s Deal

The company had secured a $250 million credit line with FTX in June, that would be used to bolster its balance sheet. On the destiny of these funds, Blockfi’s cofounder Zac Prince stated:

The proceeds of the credit facility are intended to be contractually subordinate to all client balances across all account types (BIA, BPY & loan collateral) and will be used as needed,

The agreement signed between the two companies gave FTX the option to acquire Blockfi at a price of up to $240 million. The company, which had also laid off 20% of its staff in June as a consequence of the cryptocurrency winter, had also suffered from exposure to the downfall of Three Arrows Capital, losing $80 million.

What do you think about Blockfi’s pause in customer withdrawals? Tell us in the comments section below.

Sergio Goschenko

Sergio is a cryptocurrency journalist based in Venezuela. He describes himself as late to the game, entering the cryptosphere when the price rise happened during December 2017. Having a computer engineering background, living in Venezuela, and being impacted by the cryptocurrency boom at a social level, he offers a different point of view about crypto success and how it helps the unbanked and underserved.

Image Credits: Shutterstock, Pixabay, Wiki Commons, T. Schneider, Shutterstock.com

Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.

More Popular News

In Case You Missed It





Source link

Previous Post

Bahamas Securities Authority Suspends FTX.com’s Assets

Next Post

Cathie Wood’s ARK adds $12.1M in Coinbase shares amid turbulent markets

btclive365

btclive365

Next Post

Cathie Wood’s ARK adds $12.1M in Coinbase shares amid turbulent markets

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Stay Connected test

  • 23.8k Followers
  • 99 Subscribers
  • Trending
  • Comments
  • Latest

How to sell Bitcoin – Bitcoin Magazine

November 9, 2022

Add a Tangible Asset to Your Portfolio: Buy Gold

January 7, 2023

Building Bitcoin Standard In Portugal – Bitcoin Magazine

November 9, 2022

USD/ZAR Rallies as SA President Ramaphosa Faces Potential Impeachment

December 1, 2022

Bitcoin price hits 2-week lows as FTX ‘bank run’ drains BTC reserves

1

Building Homesteader Lifestyle With Bitcoin – Bitcoin Magazine

1

Arbitrum dealings activity rockets 550% since August: Delphi Digital

0

Bitcoin․com Doubles Down on Self-Custody With Launch of Verse DEX – Press release Bitcoin News

0

US annual Core PCE inflation declines to 4.6% in February vs. 4.7% expected

March 31, 2023

Bitcoin white paper makes its F1 racing debut on Kraken-sponsored car

March 31, 2023

Crypto Twitter Outrageous As Binance Halts Institutional Withdrawals In France

March 31, 2023

GBP/USD cable eases after mixed UK data

March 31, 2023

Recent News

US annual Core PCE inflation declines to 4.6% in February vs. 4.7% expected

March 31, 2023

Bitcoin white paper makes its F1 racing debut on Kraken-sponsored car

March 31, 2023

Crypto Twitter Outrageous As Binance Halts Institutional Withdrawals In France

March 31, 2023

GBP/USD cable eases after mixed UK data

March 31, 2023

We deliver up-to-date, breaking crypto news about the latest Bitcoin, Ethereum, Blockchain, NFTs, and Altcoin trends and happenings

Follow Us

Browse by Category

  • Altcoins
  • Bitcoin (BTC)
  • Blockchain
  • Crypto Mining
  • Cryptocurrency News Today
  • CryptoCurrency Predictions
  • Defi
  • Dogecoins
  • Earn Crypto
  • Ethereum (ETH)
  • Forex Trading
  • ICO
  • Litecoin ( LTC )
  • NFT
  • Ripple
  • Trend cryptocurrency

Recent News

US annual Core PCE inflation declines to 4.6% in February vs. 4.7% expected

March 31, 2023

Bitcoin white paper makes its F1 racing debut on Kraken-sponsored car

March 31, 2023
  • About
  • Advertise
  • Privacy & Policy
  • Contact

© 2022 btclive365 All Right Rivered .

No Result
View All Result
  • Home
  • Cryptocurrency News Today
  • Bitcoin (BTC)
  • Altcoins
  • Blockchain
  • Crypto Mining
  • CryptoCurrency Predictions
  • Defi
  • Dogecoins
  • Earn Crypto
  • Ethereum (ETH)
  • Forex Trading
  • ICO
  • Litecoin ( LTC )
  • NFT
  • Ripple
  • Trend cryptocurrency

© 2022 btclive365 All Right Rivered .

Welcome Back!

Login to your account below

Forgotten Password? Sign Up

Create New Account!

Fill the forms below to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In