Less than Half of Non-U.S. BlockFi Customers Claim Assets Before Deadline

BlockFi reported that under half of its non-U.S. customers have claimed their assets back before the May 15 deadline. Key points include:

  • BlockFi filed for bankruptcy in November 2022 due to FTX's collapse and later emerged from it.
  • The firm plans to distribute 100% of customer claims' dollar value as of the bankruptcy filing in July 2024.
  • 97% of U.S. customers have claimed their distributions compared to only 43% of non-U.S. customers.
  • Distribution processes for non-U.S. customers are more complex, involving courts in the U.S. and Bermuda.
  • Customers may mistake BlockFi's communication about payment methods for spam or phishing.
  • Some customers must complete a 'Know Your Customer' (KYC) verification process, requiring two forms of ID, which takes ten minutes.
  • Payments will be processed within 45 days after KYC approval.
  • Unclaimed assets by the deadline will be allocated to other unsecured creditors.