Bankruptcy lending platform BlockFi said in an email on June 12 that it needed to perform an update before it began distributing funds to users.

Upgrade planned for summer

BlockFi said a June 9 court order ruled that users own assets in their wallet accounts and the company can allow certain withdrawals.

However, the company also said that an update must be performed before allowing withdrawals. Specifically, it is necessary to upgrade the UI in consideration of transactions and assets at the time of service suspension in November 2022.

BlockFi also said it would need to add “new product features” to its platform, but did not disclose what those features would include.

BlockFi said these updates are necessary to make withdrawals “accurate and secure.” The renovations are expected to be completed by the end of the summer, and the company plans to start distributing funds after that, he said.

A court order of June 9 expressly authorizes such an upgrade.

Requires an external wallet

BlockFi said it intends to support cryptocurrency withdrawals instead of cash. Further, it said that groups of users could carry out withdrawals in sequence, and advised users to set up external addresses for withdrawals while waiting for the process to start.

BlockFi’s bankruptcy proceedings have been ongoing since November 2022. The company owes him $1 billion to $10 billion to creditors.

An article first appeared on CryptoSlate saying that BlockFi needed to update its wallet and platform before distributing funds.

By Jules

Leave a Reply