A U.S. judge issued a temporary restraining order against BlockFills, freezing 70.6 BTC and other disputed assets

A U.S. federal judge has issued a temporary restraining order against the cryptocurrency lending firm BlockFills, temporarily freezing its disputed assets. Dominion Capital filed a lawsuit on February 27, accusing BlockFills of misappropriating and unlawfully retaining customer crypto assets worth millions of dollars, commingling customer assets, concealing significant losses, and refusing to return funds after suspending withdrawals on the BlockFills platform in February. The frozen amount is 70.6 BTC, and it has prevented BlockFills from transferring assets overseas.

The cryptocurrency lending firm BlockFills has been struggling, reporting a loss of $75 million, and suspended user deposits and withdrawals on February 11. The company, headquartered in Chicago, serves approximately 2,000 institutional clients, with a trading volume reaching $60 billion by 2025, and is currently seeking a buyer.