{"id":523563,"date":"2022-12-08T22:30:00","date_gmt":"2022-12-08T19:30:00","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/blockfi-employees-were-discouraged-from-describing-risks-in-internal-communications-report\/"},"modified":"2022-12-08T22:30:00","modified_gmt":"2022-12-08T19:30:00","slug":"blockfi-employees-were-discouraged-from-describing-risks-in-internal-communications-report","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/blockfi-employees-were-discouraged-from-describing-risks-in-internal-communications-report\/","title":{"rendered":"# BlockFi employees were discouraged from describing risks in internal communications: Report"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_84 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a285fa4c8a87\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a285fa4c8a87\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-1'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/blockfi-employees-were-discouraged-from-describing-risks-in-internal-communications-report\/#%E2%80%9D_BlockFi_employees_were_discouraged_from_describing_risks_in_internal_communications_Report_%E2%80%9C\" >&#8221; BlockFi employees were discouraged from describing risks in internal communications: Report   &#8220;<\/a><\/li><\/ul><\/nav><\/div>\n<h1><span class=\"ez-toc-section\" id=\"%E2%80%9D_BlockFi_employees_were_discouraged_from_describing_risks_in_internal_communications_Report_%E2%80%9C\"><\/span>&#8221; BlockFi employees were discouraged from describing risks in internal communications: Report   &#8220;<span class=\"ez-toc-section-end\"><\/span><\/h1>\n<p><img decoding=\"async\" src=\"https:\/\/images.cointelegraph.com\/images\/840_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS91cGxvYWRzLzIwMjItMTIvZDgzMjY1ODctODM0OC00ZTcwLWJhOGQtOWI5ZWRhYTU5NzEwLmpwZw==.jpg\" \/><\/p>\n<div class=\"post-content\" data-v-30a6cf80>Following BlockFi\u2019s Chapter 11 bankruptcy filing at the United States Bankruptcy Court for the District of New Jersey, reports have surfaced about the crypto lending company\u2019s risk assessment and management culture.\u00a0<\/p>\n<p>According to Forbes, as early as 2020, the company culture <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.forbes.com\/sites\/emilymason\/2022\/12\/08\/blockfi-employees-warned-of-credit-risks-but-say-executives-dismissed-them\/?sh=5649ebc64c1c\" data-amp=\"https:\/\/www-forbes-com.cdn.ampproject.org\/c\/s\/www.forbes.com\/sites\/emilymason\/2022\/12\/08\/blockfi-employees-warned-of-credit-risks-but-say-executives-dismissed-them\/amp\/\">discouraged<\/a> employees from \u201cdescribing risks in written internal communications to avoid liability, \u201c as reported by a former employee at BlockFi.<\/p>\n<p>Although BlockFi claimed risk management was core to their DNA and central to their mission, reports surfacing paint a different picture of the company. BlockFi\u00a0executives <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/download-scripts-themes-apps\/\" data-internallinksmanager029f6b8e52c=\"9\" title=\"Download Scripts &amp; Themes &amp; Apps\" target=\"_blank\" rel=\"noopener\">app<\/a>ear to have prioritized aggressive growth, while dismissing risk management professionals who attempted to do their job.\u00a0<\/p>\n<p>According to a former employee, an internal team at BlockFi raised concerns about the borrower pool being too concentrated among crypto whales, which included mega hedge funds Three Arrows Capital and Alameda Research, to which the management responded that the loans were collateralized.\u00a0<\/p>\n<p>Reports surfacing about BlockFi\u2019s risk assessment and management culture seem to counter the image the crypto lending firm portrayed to its clients. In a blog post, which was updated after the FTX collapse, the company <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/blockfi.com\/in-depth-look-at-blockfis-risk-management\">maintained<\/a>: \u201cRisk management is one of BlockFi\u2019s key strategic advantages and differentiators, powering our track record of delivering market leading interest payments, access to client funds, and preservation of client capital through all market environments.\u201d\u00a0<\/p>\n<p><strong><em>Related:\u00a0<\/em><\/strong><strong><em>Bankruptcy court told FTX and Alameda they owe BlockFi $1B, but it\u2019s complicated<\/em><\/strong><\/p>\n<p>During the first-day hearing of its bankruptcy proceedings, a lawyer for BlockFi shared that the crypto lender has an estimated $355 million stuck on FTX, while the collapsed exchange\u2019s sister company, Alameda Research, had defaulted on a $680 million loan.<\/p>\n<p>While FTX and Alameda owe BlockFi an estimated $1 billion, the state of financial obligations appears to be complicated by the $400 million line of credit extended to BlockFi by FTX.US on July 1.<\/p>\n<p>BlockFi, which previously denied having majority of its assets custodied at FTX, has cited the collapse of FTX as the reason for its woes.\u00a0<\/p>\n<p><template data-name=\"subscription_form\" data-type=\"crypto_biz\"><\/template><\/div>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong>\n<\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">News<\/a> articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/general\/\" target=\"_blank\" rel=\"noopener\">General category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"https:\/\/cointelegraph.com\/news\/blockfi-employees-were-discouraged-from-describing-risks-in-internal-communications-report\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8221; BlockFi employees were discouraged from describing risks in internal communications: Report &#8220; Following BlockFi\u2019s Chapter 11 bankruptcy filing at the United States Bankruptcy Court for the District of New Jersey, reports have surfaced about the crypto lending company\u2019s risk assessment and management culture.\u00a0 According to Forbes, as early as 2020, the company culture discouraged&#8230;<\/p>\n","protected":false},"author":1,"featured_media":523564,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/images.cointelegraph.com\/cdn-cgi\/image\/format=auto,onerror=redirect,quality=90,width=1200\/https:\/\/s3.cointelegraph.com\/uploads\/2022-12\/d8326587-8348-4e70-ba8d-9b9edaa59710.jpg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[74863,74860,74880,117,70610,73711],"class_list":["post-523563","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general","tag-cryptocurrencies","tag-cryptocurrency-exchange","tag-transactions","tag-business","tag-finance","tag-investments"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/523563","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=523563"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/523563\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/523564"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=523563"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=523563"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=523563"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}