BlockFi reaches $874.5 million settlement with FTX, Alameda Estates, pending judge’s signature

Bankrupt cryptocurrency lending firm BlockFi has reached a nearly $1 billion "in-principle" agreement with FTX and Alameda Research Estates that could restore the full assets of BlockFi customers, according to a court filing. Under the settlement, BlockFi will receive a total of $874.5 million in damages against FTX and Alameda Research. The $250 million will be considered a secured claim and will be paid first to BlockFi upon creditor approval of FTX’s bankruptcy plan filed in December. As a result, FTX will waive its claims against BlockFi and, under the settlement agreement, BlockFi’s remaining claims will be paid like other similar claims under FTX’s program. The agreement has yet to be signed by a judge. It is reported that BlockFi has obtained a US$400 million credit line from FTX, and FTX’s legal name is West Realm Shires. It is one of BlockFi’s largest creditors, with US$275 million in claims. (CoinDesk)