exchange bankruptcy

[AlanS]

Just wondering If BTC and other Crypto prices surge again to record highs would it affect, in a positive way, the ability of the bankrupt exchanges to pay back their creditors and customers? Specifically BlockFi? Any insight into how this works would be helpful. Thanks Alan.

[t00nces2]

Just wondering If BTC and other Crypto prices surge again to record highs would it affect, in a positive way, the ability of the bankrupt exchanges to pay back their creditors and customers? Specifically BlockFi? Any insight into how this works would be helpful. Thanks Alan.

I don't know, but I think it would work like a bank sans FDIC payback. I doubt very seriously you would get anything back. The BTC (or other crypto they had) they had was likely liquidated in a last ditch efort to save the company prior to bankruptcy. My guess would be that all the crypto is gone. This would be a shining example of "If you don't hold the keys, you don't own the crypto" and is exactly why I pulled what I had off exchanges and put them into a software wallet.

[and4rik]

If the coins are controlled by the court then no. Maybe SBF has hidden stash.