According to court documents, BlockFi Inc. sold about $239 million of its own cryptocurrency and warned nearly 250 employees that they would lose their jobs in the run-up to its Chapter 11 bankruptcy filing. BlockFi sold the holdings to cover anticipated bankruptcy expenses and does not intend to take out a loan to help fund itself while under court protection, according to company adviser Mark Renzi in a sworn statement filed in court Monday. In preparation for a restructuring, the crypto lender has begun cutting costs, including notifying two-thirds of its more than 370 employees of impending job cuts. Renzi stated that the company intends to reorganise in bankruptcy court rather than sell itself, but that it is open to any deal that maximises recoveries for creditors.
