Daniel Saval to The Deal: Why More Crypto Companies May File for Bankruptcy
August 15, 2022
Publication: The Deal
The contagion of collapsing cryptocurrency companies – from Three Arrows Capital to Voyager Digital and Celsius Network – in recent months may not be over yet. Kobre & Kim’s Daniel Saval, who regularly represents crypto industry stakeholders in complex cross-border insolvency disputes, sat down with The Deal to answer why bankruptcies are likely to continue.
As Mr. Saval explains, while the reputational consequences of filing for bankruptcy are real, “from the company’s perspective, this may indeed be an opportune time.” This is because, with so many other companies already filing for bankruptcy, it has become disadvantageous to not have the protections of bankruptcy, especially in light of new looming regulations in the U.S.