Crypto Firm Files For Chapter 11 Bankruptcy Shortly After Suspending Deposits And Withdrawals

<div class="bodyItems-wrapper"> <p class="yf-1fy9kyt">Benzinga and Yahoo Finance LLC may earn commission or revenue on some items through the links below.</p> <p class="yf-1fy9kyt">Cryptocurrency lending platform BlockFills filed for Chapter 11 bankruptcy protection on Sunday, saying it was to protect its business value and “maximize recoveries” for stakeholders.</p> <p class="yf-1fy9kyt">The bankruptcy filing will enable BlockFills to undergo restructuring, pursue additional sources of liquidity and recovery, while maintaining transparency and oversight through a court-supervised process.</p> <p class="yf-1fy9kyt">Don't Miss:</p> <p class="yf-1fy9kyt">The Chicago-based firm said that the decision follows “extensive discussions” with investors, clients, creditors, and other stakeholders and is the “most responsible path forward.”</p> <p class="yf-1fy9kyt">Several BlockFills-related entities filed a voluntary petition to restructure under Chapter 11 of the U.S. Bankruptcy Code in the U.S. Bankruptcy Court for the District of Delaware, the company added.</p> <p class="yf-1fy9kyt">Reliz, the entity behind Blockfills, reported assets between $50 million and $100 million against liabilities of $100 million to $500 million, according to documents first tracked by Coindesk.</p> <p class="yf-1fy9kyt">The filing comes nearly a month after Blockfills temporarily halted client deposits and withdrawals.</p> <p class="yf-1fy9kyt">Image via Shutterstock</p> <p class="yf-1fy9kyt">Read Next: </p> <p class="yf-1fy9kyt">Building a resilient portfolio means thinking beyond a single asset or market trend. 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GACW plans to commercialize the technology in 2026 using a "Wheels as a Service" model that lets operators adopt the system without large upfront costs.</p> <p class="yf-1fy9kyt">This article <a href="https://www.benzinga.com/markets/26/03/51287002/crypto-firm-files-for-chapter-11-bankruptcy-shortly-after-suspending-deposits-and-withdrawals">Crypto Firm Files For Chapter 11 Bankruptcy Shortly After Suspending Deposits And Withdrawals</a> originally appeared on <a href="https://www.benzinga.com">Benzinga.com</a></p> <p class="yf-1fy9kyt">© 2026 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.</p> </div>