Morgan Creek’s Leaked Call About Their Potential Heavy Funding

Morgan Creek’s plan was to rapidly assemble an equity offer, against which the company would return 250 million dollars.
“I’ve been making calls all day,”- These were the words audible allegedly spoken by the Managing Partner Mark Yusko, in a leaked call.
The debate went on twitter the day BlockFi CEO Prince tweeted clarifying details regarding the company.

The 250 Million Dollar Call

Recently, an investor call got leaked, which led to the Morgan Creek’s plans going digital.

According to that call, the Cryptocurrency investment firm Morgan Creek Digital is trying to raise

Around 250 million dollars.

The raised money will be used in buying a heavy stake in crypto lender, ‘BlockFi’.

Morgan Creek’s plan was to rapidly assemble an equity offer, against which the company would return the above-mentioend value.

When asked about the offer, Morgan Creek Digital declined to answer.

But what is at stake?
The answer is, ‘the ability of BlockFi’s existing shareholders to recoup their investments’.

These shareholders, include Morgan Creek Digital.

“I’ve been making calls all day,”- These were the words audible allegedly spoken by the Managing Partner Mark Yusko.

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Statements By Both The Founders

According to Yusko, the FTX credit line proposal had a catch for BlockFi’s existing shareholders: It gave FTX the option to buy BlockFi “at essentially zero price.”

If FTX were to exercise said option, it would effectively wipe out all of BlockFi’s existing equity shareholders, including management and employees with stock options, as well as all equity investors in the company’s previous venture rounds.

The debate went on twitter the day BlockFi CEO Prince tweeted clarifying details regarding the company.

He said that the corporation has already signed a preliminary term sheet with FTX.
Yusko had a talk with investors regarding it, and he said that the FTX and BlockFi’s deal is going to be done within three days.

This was all conversed within a leaked call.

“We are still negotiating the terms of the deal and cannot share more information at this time,” a BlockFi spokesperson said.

Yusko has warned Morgan Creek that while he was doing everything he could to rescue his funding into Blockfi’s assets, the success was not at all near.

“It’s not over, but it is definitely looking dark,” he said.

Andrew is a blockchain developer who developed his interest in cryptocurrencies while his post-graduation. He is a keen observer of details and shares his passion for writing along with being a developer. His backend knowledge about blockchain helps him give a unique perspective to his writing