BlockFi Leaders, Account Customers Reach $13 Million Class Deal

The founders and several other directors and executives of now-bankrupt BlockFi Inc. have agreed to pay a class of interest account holders more than $13 million to settle securities fraud claims.

The agreement is an “outstanding” result for the BlockFi account holders and should be given preliminary approval, the lead plaintiffs told Judge Claire C. Cecchi of the US District Court for the District of New Jersey on Tuesday.

Distributions will be available to the 89,027 total account holders under the terms of the settlement, even though some lost their ability to bring claims against the individual defendants in the ...