BlockFi to Enable Crypto Withdrawals by Summer ’23

• BlockFi, a bankrupt lending platform, will enable customer withdrawals of crypto assets held in its wallet accounts by this summer.
• The necessary updates must be completed before the customer withdrawal process can begin.
• Before withdrawing funds, customers should set up a third-party wallet and eligible users will receive an email.

BlockFi Enables Customer Withdrawals

Bankrupt lending platform BlockFi needs to conduct updates before enabling customer withdrawals of crypto assets held in its wallet accounts that are not subject to potential preference claims. In an emailed statement to its clients, BlockFi said it should conclude all the necessary “work” to enable customer withdrawals by this summer.

New Product Functionality

The company said it will add a new product functionality to its platform before enabling withdrawals but has not detailed what these features will include. According to the new update, withdrawals must be made in batches, while the eligible users will receive an email.

Set Up Third-Party Wallet

The lender further advised users to set up a third-party wallet for the process. This is necessary for customers who want to withdraw digital assets held in BlockFi Wallet accounts that are not subject to potential preference claims.

Supreme Court Order

The development follows an order issued by the Supreme Court in Bermuda on June 9th, allowing the platform to reopen withdrawals for customers with BlockFi Wallet accounts. Since then, the user interface has been updated to accurately reflect users’ transactions and account balance.

Conclusion

By completing all necessary updates and testing this summer, BlockFi will be able to begin allowing clients to withdraw their digital asset from their wallets accounts without any potential preference claims being made against them.