Bankrupt BlockFi Aims to Pause Securities Suits Against Top Execs

BlockFi is seeking to extend its bankruptcy protection against litigation to its directors and officers who are facing lawsuits over the crypto lender’s alleged sale of unregistered securities.

BlockFi on Monday sued Trey Greene and Antonie Elas—who held accounts at BlockFi—to pause their proposed class actions in New Jersey and Massachusetts against several company officers, directors, and former employees.

BlockFi said it has agreed to use its insurance policies to cover the defense costs of some of the executives named in the suits. Allowing the suits to continue could bear on BlockFi’s estate, it said.

The company argues in its ...