“The company also listed an outstanding $275 million loan to FTX US, the American arm of Sam Bankman-Fried’s now-bankrupt empire.”
BlockFi got rescued by FTX in the summer. Now it’s bankrupt because of FTX, owed $275 million by the company that saved it. More than 100,000 creditors are in line. The rescuer was insolvent the whole time. In crypto, the bailout was the contagion.