Following the failure of FTX, the struggling crypto business BlockFi has filed for Chapter 11 bankruptcy protection in the United States Bankruptcy Court for the District of New Jersey. The corporation has over 100,000 creditors, with liabilities and assets ranging from $1 billion to $10 billion, according to the petition. In the statement, the business mentioned a $275 million debt to FTX US, the American arm of Sam Bankman’s now-bankrupt Fried conglomerate. Concurrent with the bankruptcy case in the United States, a BlockFi subsidiary filed for bankruptcy in Bermuda. Bermuda, like the Bahamas, views cryptocurrencies as the financial future. Both organisations built structures to deal with crypto assets and digital currency particularly. Both the Bahamas, with FTX’s bankruptcy, and now Bermuda, with BlockFi’s insolvency, are facing the first big judicial challenges of their crypto rules.