Bankrupt Crypto Lender BlockFi to Refund More Than $100K to California Clients

The decision, which is subject to a bankruptcy court’s approval, comes after a DFPI investigation found the now-bankrupt crypto lender “failed to provide timely notification” to borrowers that they could stop repaying their loans after the company had paused withdrawals on its platform. As a result, BlockFi’s California borrowers remitted at least $103,471 worth of loan repayments to the lender’s servicer.