The New Jersey bankruptcy court had banned BlockFi from investing in secondary financial markets, according to a filing by U.S. Trustee Andrew Vara made on Friday. In a series of letters starting Feb. 17, Vara, a Department of Justice official responsible for bankruptcy matters, urged the lender to shift the funds somewhere where it would be protected by a government guarantee from the Federal Deposit Insurance Corporation (FDIC).
Source: https://www.coindesk.com/policy/2023/03/13/blockfi-has-cash-access-for-staff-vendors-despite-svb-collapse-attorney/?utm_medium=referral&utm_source=rss&utm_campaign=headlines