Bittrex, the cryptocurrency exchange, has been granted approval by a bankruptcy judge in the United States for a $7 million loan from its parent company, Aquila Holdings.
The loan will help Bittrex through the bankruptcy process, and if approved, a second loan of $12 million will be sought.
The exchange filed for Chapter 11 bankruptcy in the District of Delaware last week, but its global exchange headquartered in Liechtenstein, Bittrex Global GmbH, was not included in the petition.
The judge allowed the Bitcoin loan due to its low interest rate and volatility protections, with Bittrex not required to repay more than 110% of Bitcoin’s current value when the loan is repaid.
