Cryptocurrency

BlockFi creditors appeal court to redact their information

Hull Invest

BlockFi creditors ask court to redact personal information, according to court on Jan. 10 filing.

Creditors claimed that redacting their information protected them from the risks of “hacking, identity theft and harassment” in the crypto space.

BlockFi would lose the trust of potential clients if this information were made public, according to the filing. They added that this would make divestitures, new equity investments or restructuring deals less attractive.

BlockFi creditors cited serious consequences for Celsius account holders as the information was made public. They further argued that such information would expose customers to theft and hacking of her online.

BlockFi creditors say that when an experienced Bitcoin Core developer could lose more than 200 BTC in a hack, less experienced retailers are at much greater risk if targeted for theft. will be

US authorities object motion

meanwhile another filing The U.S. Trustee has contested BlockFi’s motion to redact client information.

According to court documents, authorities have not disputed the redaction of BlockFi’s customer addresses and emails. However, I object to the redaction of their names and the information of BlockFi’s institutional investors.

US officials argued that “disclosure is a fundamental premise of bankruptcy law.” This is to eliminate “implications of wrongdoing that may or may be raised.”

The agency added that granting BlockFi’s request could set an unfavorable precedent for other Chapter 11 bankruptcy cases in the crypto industry.

Judge Michael Kaplan is scheduled to hear the case on January 17.

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