BlockFills suspends client deposits and withdrawals temporarily as bitcoin prices fall, promising updates while working to restore liquidity for institutional clients

Crypto liquidity provider and lender BlockFills has temporarily halted client deposits and withdrawals following a renewed downturn in bitcoin prices, which has rippled across digital asset markets.

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In a statement released Wednesday, the Chicago-based firm said it suspended withdrawals last week and is actively working to restore liquidity.

BlockFills serves more than 2,000 institutional clients, including crypto hedge funds and asset managers, and reported $61.1 billion in trading volume in 2025.

Despite the suspension, clients can still open and close positions in spot and derivatives markets.

The company described the pause as temporary and assured users that efforts are underway to resolve the situation promptly.

The move follows a broader sell-off in cryptocurrencies and precious metals after U.S. President Donald Trump nominated Kevin Warsh as Federal Reserve chair, raising expectations of policies that could shrink the Fed’s balance sheet and reduce demand for bitcoin.

Bitcoin recently dropped more than 3% to $66,534, down from an all-time high above $125,000 in October.

BlockFills has raised $43 million since its 2021 launch, backed by investors including CME Ventures and Susquehanna Capital.

The firm said it remains in close contact with clients and will provide regular updates as it addresses liquidity challenges.

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“BlockFills is working tirelessly to bring this matter to a conclusion and will continue to regularly update our clients as developments warrant,” a spokesperson said.