Susquehanna-backed crypto firm BlockFills is preparing for restructuring after suffering nearly $80 million in losses and facing a customer lawsuit. The Chicago-based crypto options and lending platform has frozen client withdrawals since last month following loan losses and failed bets on crypto mining. The company has sought restructuring advice from BRG and Katten Muchin Rosenman.

BlockFills' troubles mirror the 2022 crypto crash that claimed victims including FTX, Celsius, and Voyager Digital. The firm's financial woes stem from trading losses, mining failures, and poor bookkeeping, with executives making decisions based on inaccurate financial information. In 2024, BlockFills paid $12 million in employee bonuses while reporting only $900,000 in adjusted profits.

A Manhattan federal judge imposed a temporary restraining order on BlockFills after Dominion Capital sued, alleging improper handling of customer funds. The company's backers, including Susquehanna and CME Ventures, face potential losses on their $37 million equity investment. BlockFills' difficulties have mounted as Bitcoin plunged about 40% from 2025 highs amid market uncertainty. The firm's management is now pursuing a restructuring that would inject new capital and impose stricter financial controls.