Trading giant BlockFills suspends deposits and withdrawals; can its liquidity crisis be turned around?

Compiled by: Felix, PANews

Following the cryptocurrency market crash, speculation abounded about which major institution would be sacrificed in this round. On the evening of February 11th, a major crypto whale officially ran aground.

On February 11, cryptocurrency trading and lending company Blockfills issued a statement saying that due to recent extreme market volatility and financial conditions, it had temporarily suspended all customer deposits and withdrawals last week. However, customers can still open and close positions in spot and derivatives trading, as well as other specific transactions.

Blockfills emphasized that this was to protect its clients and the company, stating that management is working closely with investors and clients to restore liquidity as quickly as possible. In this process, the company is also maintaining active communication with clients and will regularly update them on the latest developments.

Concerns about a chain reaction in the market amid volatile conditions

BlockFills' statement comes at a time when the crypto market has been declining for months, culminating in a full-blown crash last week. Bitcoin once fell to a low of $60,000 before rebounding to its current level of $66,000, but is still down about 45% from its all-time high reached last October.

As a liquidity giant serving more than 2,000 institutional clients worldwide, its shutdown is reminiscent of the crypto winter of 2022, when many platforms were forced to suspend withdrawals as the bear market intensified, ultimately leading to the collapse of many platforms and triggering a chain reaction.

In 2022, Celsius Network, one of the largest crypto lending platforms at the time, suspended all withdrawals citing extreme market conditions. Weeks later, the platform officially filed for bankruptcy reorganization. That same year, the FTX exchange suspended withdrawals after experiencing a run on its platform, and its affiliated lending institution Genesis also stopped redemptions due to liquidity pressures. Furthermore, Voyager Digital announced a suspension of trading and withdrawals due to a massive loan default to Three Arrows Capital. This series of bankruptcies exacerbated an already sluggish market.

Unlike the aforementioned platforms that primarily target retail investors, Blockfills' crisis directly impacts professional institutions and miners. Its suspension of deposits and withdrawals indicates that liquidity pressures in the crypto market have spread to core infrastructure.

With annual transaction volume exceeding $60 billion, backed by major institutional investors.

As a crucial underlying infrastructure for the crypto industry, Chicago-based Blockfills acts as a bridge connecting traditional finance and crypto assets.

Founded in 2018, Blockfills provides cryptocurrency liquidity, trade execution, and lending services to more than 2,000 institutional clients in 95 countries, including hedge funds, asset management companies, family offices, liquidity providers, and cryptocurrency mining companies. It does not directly serve retail investors.

According to official data from Blockfills, the platform's trading volume exceeded $61.1 billion in 2025, a 28% increase from 2024. Of this, spot trading volume exceeded $17.9 billion, and derivatives trading volume exceeded $40.8 billion.

In addition, the platform has strong shareholder backing. BlockFills raised $6 million in 2021 and another $37 million in 2022, with investors including global quantitative trading giant Susquehanna Private Equity Investments LLLP and CME Ventures (the venture capital arm of the CME Group).

Susquehanna Private Equity Investments LLLP is the private equity investment entity of Susquehanna International Group (SIG). SIG is a quantitative trading and market-making firm with operations spanning equities, energy, and digital assets. According to its Q3 2025 filing, SIG's publicly traded securities portfolio under management is approximately $874.9 billion.

As the strategic investment arm of CME Group, the world's largest derivatives exchange, CME Ventures had approximately $4.6 billion in cash and cash equivalents as of early 2026. In 2025, CME Group's revenue reached a record high of $6.5 billion, with an operating profit of approximately $4.2 billion. This indicates that CME Ventures possesses stable and substantial capital backing.

Blockfills' suspension of deposits and withdrawals marks the first major liquidity crisis this year amidst severe market volatility. Whether Blockfills can achieve a "soft landing" through capital injections or will face bankruptcy remains to be seen. However, the strong backing of its shareholders offers some consolidation, suggesting that Blockfills may still have a chance to overcome the crisis.