BlockFills CEO steps down as $75M loss triggers sale talks and withdrawal freeze

BlockFills co-founder and CEO Nicholas Hammer has stepped down from his leadership role, with the company’s website now listing Joseph Perry as interim CEO.

Leadership shakeup at BlockFills as firm seeks buyer after market stress

The leadership change comes as the Chicago-based crypto lending and liquidity firm grapples with significant financial stress, operational freezes and strategic uncertainty.

On February 11, 2026, BlockFills temporarily suspended client deposits and withdrawals, a decision attributed to challenging market conditions and liquidity pressures. The suspension remains in place with no clear timeline for resumption, prompting concern among its roughly 2,000 institutional clients, which include hedge funds, asset managers and mining firms.

According to media reports, the company also has an approximate $75 million loss linked to its crypto lending business after the value of collateral backing loans declined sharply during the recent downturn in digital asset prices.

Some clients were privately advised to withdraw assets before the full freeze was implemented, a move that industry watchers see as indicative of deeper liquidity stress.

BlockFills’ management and investors are now reportedly actively seeking a buyer or strategic partner to stabilize operations, with Joseph Perry stepping in to lead these efforts. The firm, which processed more than $60 billion in trading volume in 2025, is supported by backers including Susquehanna Private Equity, CME Ventures, Simplex, C6E and Nexo.

Amid a persistent bear market, capital constraints and broader risk aversion in crypto markets, the company’s fate remains uncertain. Prolonged freezes on liquidity could damage confidence and hinder institutional participation, echoing patterns seen in previous crypto downturns where lenders faced severe solvency challenges.