In the emerging cryptocurrency space, most investors store their assets in digital wallets, where—unlike traditional bank accounts—they earn no interest. In the last few years, cryptocurrency investors have increasingly sought to earn a yield on their cryptocurrency holdings by lending Bitcoin and other cryptocurrency to trading and lending platforms in exchange for interest.
One such platform, Cred, filed for Chapter 11 bankruptcy following a series of thefts and poor decisions. Its customers lost more than a hundred million dollars’ worth of cryptocurrency.
