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☆ The unraveling of $3 billion crypto lender BlockFi amid FTX's 'death spiral', according to bankruptcy filings
▼ + stars: | 2022-12-03 | by ( Morgan Chittum | ) www.businessinsider.com time to read: +5 min

The crypto platform owes $30 million to the SEC, per bankruptcy filings. FTX, which once offered BlockFi a $400 million credit line, ultimately led to the firm's bankruptcy. BlockFi cited significant exposure to Sam Bankman-Fried's crypto empire, which filed for bankruptcy on November 11. Ironically, once FTX's "death spiral" began, BlockFi's liquidity crisis ensued and the company paused user account withdrawals on its platform. Due to the loan agreement and $355 million in digital assets held on FTX, BlockFi had substantial exposure.

☆ Crypto meltdown a boon for bankruptcy lawyers
▼ + stars: | 2022-12-02 | by ( Andrew Goudsward | ) www.reuters.com time to read: +5 min

“You’ve got to pay the gravedigger,” said Adam Levitin, a law professor at Georgetown University who specializes in bankruptcy law. Law firm billing rates are normally not public, but in bankruptcy cases lawyers for the debtor company must detail their billings and request a judge's approval for their fees. The lawyers are paid from the assets of a bankruptcy estate, and experts said judges rarely demand significant reductions in professional fees. Lawyers in the crypto cases must deal with a host of issues new to bankruptcy law, including whether digital assets deposited on a platform are owned by the customer or the platform itself, according to bankruptcy law experts. Levitin, a former member of the restructuring department at law firm Weil, Gotshal, & Manges, said such complex questions call for top-shelf lawyers.

☆ U.S. crypto broker Genesis says it is working to avoid bankruptcy filing
▼ + stars: | 2022-11-30 | by ( ) www.reuters.com time to read: +2 min

Nov 29 (Reuters) - U.S. cryptocurrency brokerage Genesis said it was seeking to avoid bankruptcy after Bloomberg news reported on Tuesday that creditors to the firm are organizing with restructuring lawyers to prevent insolvency. "Our goal is to resolve the current situation in the lending business without the need for any bankruptcy filing," a Genesis spokesperson said. Genesis has hired investment bank Moelis & Company "to evaluate the best possible asset preservation strategy and effectuate a roadmap," the firm said in the letter. The crypto lending arm of U.S. digital asset broker Genesis Trading suspended customer redemptions earlier this month, citing the sudden failure of FTX, where its derivatives business has approximately $175 million in locked funds, the company had said. Venture capital company Digital Currency Group, which owns Genesis Trading and cryptocurrency asset manager Grayscale, owes $575 million to Genesis' crypto lending arm, Digital Currency Chief Executive Barry Silbert told shareholders this month.

BlockFi lawyers said during the crypto lender's bankruptcy hearing on Tuesday that the firm plans to reopen withdrawals as part of an effort to "maximize client recoveries." FTX had arranged a rescue plan for BlockFi, but that fell apart when FTX faced its own liquidity crisis earlier this month and rapidly sank into bankruptcy. BlockFi loaned $671 million to Alameda, Sussberg said, and had an additional $355 million in digital assets that are currently frozen on the FTX platform. Exposure to both firms prompted client withdrawals, but it was FTX's plan to acquire BlockFi that ultimately led it into bankruptcy proceedings, the lawyer said. In the bankruptcy filing, BlockFi indicated it had more than 100,000 creditors, with liabilities and assets ranging from $1 billion to $10 billion.

New Jersey-based BlockFi, founded by fintech executive-turned-crypto entrepreneur Zac Prince, said in a bankruptcy filing that its substantial exposure to FTX created a liquidity crisis. BlockFi listed its assets and liabilities as being between $1 billion and $10 billion. Renzi said that BlockFi had sold a portion of its crypto assets earlier in November to fund its bankruptcy. In a court filing on Monday, BlockFi listed FTX as its second-largest creditor, with $275 million owed on a loan extended earlier this year. In its bankruptcy filing, BlockFi said it had hired Kirkland & Ellis and Haynes & Boone as bankruptcy counsel.

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New Jersey-based BlockFi, founded by Zac Prince, said in a bankruptcy filing that its substantial exposure to FTX created a liquidity crisis. In a court filing on Monday, BlockFi listed FTX as its second-largest creditor, with $275 million owed on a loan extended earlier this year. Crypto lenders, the de facto banks of the crypto world, boomed during the pandemic, attracting retail customers with double-digit rates in return for their cryptocurrency deposits. Crypto lenders are not required to hold capital or liquidity buffers like traditional lenders and some found themselves exposed when a shortage of collateral forced them - and their customers - to shoulder large losses. In its bankruptcy filing, BlockFi said it had hired Kirkland & Ellis and Haynes & Boone as bankruptcy counsel and Berkeley Research Group as a financial adviser.

☆ How FTX 'death spiral' spelled doom for BlockFi, according to bankruptcy filing
▼ + stars: | 2022-11-28 | by ( Rohan Goswami | ) www.cnbc.com time to read: +2 min

The former FTX CEO bailed out and took over crypto firms as cryptocurrency markets withered with Terra's spring crash. Today, BlockFi filed for bankruptcy in New Jersey, after weeks of speculation that the FTX collapse had fatally crippled it. The FTX "death spiral," as BlockFi advisor Mark Renzi put it, has now spread to another crypto entity. According to Renzi, exposure to two successive hedge fund failures, the FTX rescue, and broader market uncertainty all conspired to force BlockFi into bankruptcy. Both firms have already collected millions in fees from BlockFi in preparation work for the bankruptcy, according to court filings.

☆ Corporate America is bracing for a rise in activist investing. Meet the 13 lawyers on speed-dial when companies and investors fight for boardroom control.
▼ + stars: | 2022-11-23 | by ( Sindhu Sundar | ) www.businessinsider.com time to read: +11 min

Law firms including Olshan Frome Wolosky LLP and Schulte Roth & Zabel are go-tos for activist investors looking to change how companies do business. Kai Liekefett, who co-chairs Sidley's shareholder activism practice, last year successfully defended cloud company Box Inc. in a proxy fight by Starboard. Liekefett has also defended clients against major activist investors including Carl Icahn and Trian Partners. He has advised clients against major activist investors including Trian, Carl Icahn, Starboard Value and the billionaire Paul Singer. Lawrence Elbaum and Patrick Gadson, Vinson & ElkinsPatrick Gadson (L) and Lawrence Elbaum (R), co-heads of Vinson & Elkins' shareholder activism group.

CompaniesCompanies Law firms Gibson, Dunn & Crutcher Llp Follow(Reuters) - Gibson, Dunn & Crutcher said Monday that Gustav Eyler, who was a top U.S. Department of Justice consumer protection official, has joined the firm as a Washington, D.C.-based partner. Eyler, who practiced as a litigation associate at Los Angeles-founded Gibson Dunn earlier in his career, served for five years as director of the consumer protection branch of the Justice Department's civil division, where he oversaw more than 250 prosecutors and staff, the firm said. Gibson Dunn has made other recent hires to its Washington office, including two last week. At Gibson Dunn, Eyler said he plans to help clients facing government investigations, enforcement actions and related consumer class actions involving the life sciences, healthcare and consumer products sectors, and work with clients on data privacy matters. Read more:Law firm Steptoe hires U.S. Justice Dept senior antitrust lawyerJustice official to lead Jenner's congressional investigations teamOur Standards: The Thomson Reuters Trust Principles.

☆ FTX is just the tip of the iceberg. Meet 16 lawyers whose bankruptcy battles, from Revlon to JCPenney, are setting them up for a boom in business
▼ + stars: | 2022-11-14 | by ( Sindhu Sundar | ) www.businessinsider.com time to read: +3 min

Despite the economic downturn, just 312 corporations filed for bankruptcy this year as of October. Here are 16 lawyers who may benefit as more companies negotiate with lenders and restructure their debt. FTX filed for Chapter 11 bankruptcy on Friday after questions were raised about its capital, leading customers to flee the exchange. Despite the high-profile nature of FTX's bankruptcy, such filings actually fell to a new low in 2022. As of end of October, there were just 312 corporate bankruptcy filings, down from 410 filings in 2021, and 640 in 2020, according to an S&P Global Market Intelligence report.

☆ Video shows a 5-foot alligator being cut out of a python after the snake swallowed it whole
▼ + stars: | 2022-11-14 | by ( Kelsey Vlamis | ) www.businessinsider.com time to read: +3 min

Scientists in Florida cut open a Burmese python to find a largely intact alligator inside. She shared a video in which the alligator was pulled out of the 18-foot-long python's digestive tract. A post shared by Rosie Moore (@rosiekmoore)The python was found and killed by employees at Everglades National Park. Last month, a missing 54-year-old woman in Indonesia had been swallowed whole by a python, according to police. A scientist in Indonesia said the woman was likely swallowed by a reticulated python, which can grow up to well over 20 feet long.

A conflict could arise in the future, if, for example, Aearo and 3M disagreed about the terms of a future settlement, Graham said. If that happened, Kirkland could face disqualification, loss of fees, or even potentially the dismissal of Aearo's bankruptcy case, according to the judge. Kirkland has defended 3M in the MDL, and it represents Aearo in the bankruptcy case that was meant to spur a settlement of the earplug lawsuits. The plaintiffs and the U.S. Department of Justice's bankruptcy watchdog sought to disqualify Kirkland from representing Aearo in the bankruptcy, saying it could not faithfully serve both Aearo and 3M. The case is Aearo Technologies LLC, U.S. Bankruptcy Court for the Southern District of Indiana, No.

☆ California Proposition 26: Voters will decide on legalizing specific types of gambling on Native American lands
▼ + stars: | 2022-11-06 | by ( Taiyler Simone Mitchell | ) www.businessinsider.com time to read: +3 min

California Proposition 26 would allow for specific types of sports betting on Native American lands. Kyle Kirkland, president of the California Gaming Association, argues the proposition would create a tribal casino monopoly. download the app Email address By clicking ‘Sign up’, you agree to receive marketing emails from Insider as well as other partner offers and accept our Terms of Service and Privacy PolicyA "yes" on California's Proposition 26 would legalize specific types of gambling on Native American lands. Funds earned via Proposition 26 would initially go to schools and the remainder to California's discretionary fund, mental health research, and gambling rules. Support and oppositionProposition 26 is sponsored by Native American tribes, such as Federated Indians of Graton Rancheria.

☆ Why Costco, Trader Joe's stopped selling your favorites
▼ + stars: | 2022-11-05 | by ( Nathaniel Meyersohn | ) edition.cnn.com time to read: +5 min

Fans run social media accounts dedicated to tracking discontinued products at Trader Joe’s, and others blog about long-lost items at Costco. “We understand that it can be disappointing — devastating, even,” Trader Joe’s says on its “discontinued product feedback” contact page for customers. There are several reasons Trader Joe’s, Costco (COST) and other stores suddenly stop selling customer favorites. Also, for stores like Costco and Trader Joe’s, discontinuing items can reinforce the treasure hunt-like appeal of these stores. One major factor: It’s difficult to get shelf space inside Trader Joe’s and Costco and stay there.

SummarySummary Companies Agnico Eagle, Pan American bid values Yamana around $4.8 blnGold Fields says it will continue working towards takeoverYamana shares jump 16%Nov 4 (Reuters) - Agnico Eagle Mines Ltd (AEM.TO) and Pan American Silver Corp (PAAS.TO) swooped in with a joint bid for Yamana Gold (YRI.TO) on Friday, in an attempt to scupper Gold Fields' (GFIJ.J) planned acquisition of the Canada-listed gold miner. The cash and stock offer, valuing Yamana at around $4.8 billion, would see Agnico and Pan American split Yamana's mines between them. Yamana shareholders would receive $1.0406 in cash, 0.0376 of an Agnico Share and 0.1598 of a Pan American Share for each share held. South Africa's Gold Fields had agreed to take over Yamana in an all-stock deal valuing it at $6.7 billion in May. Gold Fields will update the market on the status of its bid after the weekend, a company spokesman said.

☆ A CEO and activist investor who moved into micro caps after two decades picking stocks at BlackRock and Merrill Lynch told us his process for finding companies that can double their worth in 3 years
▼ + stars: | 2022-11-04 | by ( Marley Jay | ) www.businessinsider.com time to read: +5 min

Kevin Rendino led big value funds for Merrill Lynch and BlackRock, but changed course. He's now an activist micro cap investor and CEO of turnaround firm 180 Degree Capital. Rendino spent 24 years at Merrill Lynch and then BlackRock, as an analyst and then as a portfolio manager. At different stages, he managed a large cap value fund for six years and oversaw an equity value team that ran 11 funds that held a combined $13 billion. The firm specializes in investing in micro cap companies and helping them turn their businesses around.

☆ Apple iPhone production will not be badly affected by Zhengzhou's Covid situation, analyst says
▼ + stars: | 2022-11-01 | by ( ) www.cnbc.com time to read: 1 min

Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailApple iPhone production will not be badly affected by Zhengzhou's Covid situation, analyst saysKirk Yang of Kirkland Capital says that even with potential disruptions from the Covid-19 situation in Zhengzhou, China there is enough stock to meet demand.

☆ Amazon will open 172,000-square-foot Project Kuiper internet satellite factory
▼ + stars: | 2022-10-27 | by ( Annie Palmer | ) www.cnbc.com time to read: +2 min

Amazon said Thursday it will open a new plant in a Seattle suburb to build satellites for Project Kuiper. Unveiled in 2019, Project Kuiper, is Amazon's plan to build a network of 3,236 satellites in low Earth orbit to provide high-speed broadband internet. Amazon notched a key milestone in 2020 when the Federal Communications Commission authorized the satellite internet system. Amazon has said it plans to invest more than $10 billion into building Project Kuiper, and it already has a 219,000-square-foot research and development facility based in Redmond, Washington. WATCH: How Amazon's Project Kuiper is taking on SpaceX's Starlink satellite internet

☆ We remain cautious on the Taiwan and global semiconductor sector, says financial services firm
▼ + stars: | 2022-10-14 | by ( ) www.cnbc.com time to read: 1 min

Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailWe remain cautious on the Taiwan and global semiconductor sector, says financial services firmKirk Yang of Kirkland Capital says the problem used to be on the supply side, but the problem now is on the demand side.

☆ How Amazon’s big private-label business is growing and leaving small brands to protect against knockoffs
▼ + stars: | 2022-10-12 | by ( Katie Schoolov | ) www.cnbc.com time to read: +10 min

Peak Design CEO Peter Dering compares his company's Everyday Sling Bag to the Amazon private label version at his San Francisco headquarters on September 6, 2022. A selection of some of Amazon's 118+ private label brands as of October, 2022. Then there are specialty firms that only do private labels, and some store brands have their own devoted manufacturing facilities. By comparison, private labels make up a whopping 77% of Aldi's sales, followed by Trader Joe's at 59% and Wegmans at 49%. A variety of Amazon's private label goods are shown on September 29, 2022.

☆ The price of butter is sky-high and 'not going to come down,' says supply chain expert—here's why
▼ + stars: | 2022-10-05 | by ( Aditi Shrikant | ) www.cnbc.com time to read: +1 min

As we enter the holiday baking season, one key ingredient will be harder to find: butter. In January, the average price of butter was $3.67 per pound, according to the Federal Reserve Bank of St. Louis. "Prices are not going to come down," says Scott Grawe, a professor of supply chain management at Iowa State University. Extreme temperatures, floods, droughts, along with frequent and intense storms "weighed on productivity growth," according to a USDA report. In August 2022, there was about 282.6 million pounds of butter in storage, down from the 362.7 million pounds in August 2021, according to a USDA report.

☆ Emergency savings account startup SecureSave has partnered with the likes of the San Antonio Spurs and Truist. See the fintech's 20-slide seed fundraising deck.
▼ + stars: | 2022-09-27 | by ( Carter Johnson | ) www.businessinsider.com time to read: +4 min

SecureSave, a fintech launched in 2020, works with employers to offer emergency savings accounts. The origins of SecureSave — a Kirkland, Washington-based fintech that works with companies to offer emergency savings accounts, or ESAs, to employees — began with a single email to a Seattle-based venture studio and investor. In some ways, emergency savings accounts resemble health savings accounts, through which workers can set aside pre-tax earnings to save for medical care. In the US, health savings accounts have grown over time into a nearly $100 billion industry, by assets under management, according to the HSA industry group Devenir. But according to Miller, employers are recognizing that ESAs can pay for themselves — through employee retention and as a competitive advantage when hiring.

☆ WADA outlaws tramadol use from 2024, maintains cannabis ban
▼ + stars: | 2022-09-23 | by ( ) www.reuters.com time to read: +2 min

A pharmacist holds a bottle of traMADOL Hydrochloride made by Sun Pharma at a pharmacy in Provo, Utah, U.S., May 9, 2019. REUTERS/George Frey/FilesSYDNEY, Sept 23 (Reuters) - The World Anti-Doping Agency will add the painkiller tramadol to the list of banned substances for athletes in competition from 2024 and has maintained its ban on cannabis after a review. Register now for FREE unlimited access to Reuters.com Register"Research studies funded by WADA have also confirmed the potential for tramadol to enhance physical performance." WADA said the delay in introducing the ban until 2024 was to allow the communication of the implications of it to athletes, their entourages and medical staff. After requests from some "stakeholders", however, WADA agreed to review the cannabis ban but decided on Friday to maintain it because the use of the drug "violated the spirit of sport".

☆ Costco isn't raising membership fees after earnings beat expectations
▼ + stars: | 2022-09-23 | by ( Jack Stebbins | ) www.cnbc.com time to read: +1 min

Costco is still holding off on raising its membership fees after reporting fiscal fourth quarter results that beat expectations. On Thursday, Costco Chief Financial Officer Richard Galanti noted the company hasn't yet reached its typical milestone for a hike. A Costco membership costs $60 a year, or $120 a year for an executive membership that comes with additional perks. For the quarter, Costco reported higher revenue of $72.09 billion, which was slightly above the $72.04 analysts expected. Galanti noted a small uptick for the company's private Kirkland brand products, but said said the company is seeing a relatively strong consumer.

☆ A step-by-step guide to securing a Big Law summer associate position, from networking best practices to acing the interview
▼ + stars: | 2022-09-14 | by ( Business Insider | ) www.businessinsider.com time to read: +3 min

Working at a law firm after a student's second year, or 2L, has long been a rite of passage for students bound for Big Law. And some students are finding themselves ill-equipped to navigate what one law partner has dubbed "the Wild West" of Big Law recruiting. The former pro soccer player recently walked Insider through his sometimes harrowing journey to snagging multiple Big Law offers before on-campus interviewing, or OCI, even began. The perks including increasingly big paychecks, especially for what are known as "rainmakers," or law partners who bring in big business. This Big Law firm is so hungry for associates that it's giving $75,000 referral bonusesBig Law has a mental health problem.

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