Blockfills files for Chapter 11 bankruptcy after $75M loan loss

Cryptocurrency lender Blockfills has filed for Chapter 11 bankruptcy protection in the U.S. Bankruptcy Court for the District of Delaware, The Block reported. The move follows months of deteriorating business conditions, which included a recent halt to customer withdrawals. According to the filing, the company has estimated assets of $50 million to $100 million and liabilities of $100 million to $500 million. Blockfills incurred a $75 million loan loss during the recent market downturn. As bankruptcy concerns mounted, creditor Dominion Capital subsequently petitioned the court to freeze 70.6 BTC of its assets held by the lender. Industry observers believe the company's chances of recovery are slim.