BlockFi Had $600 Million in Crypto Loans Not Covered by Collateral in Q2

The company loaned out $1.8 billion and held only $1.2 billion in collateral, according to BlockFi's own numbers.

Crypto lending platform BlockFi held “loan exposure” totaling $600 million by the end of June, according to the company’s “Q2 2022 Transparency Report,” released on Friday.

The report showed BlockFi held an institutional and retail loan portfolio totaling $1.8 billion, with $1.2 billion in loan collateral. The firm defines its net “exposure” to a loan counterparty as “the fair value of loans to the counterparty minus the fair value of collateral posted by the counterparty.” This means that over half a billion dollars loaned out by BlockFi in Q2 wasn't covered by collateral.