20250720

On July 18th, 2025, the Delaware Bankruptcy Court entered an Order granting the Plan Administrator’s motion concerning Prime Trust. The accompanying Opinion and the Order’s “Distribution Procedures” set the framework that now governs your claim.

What the Court decided

You must read the Court's Order and Opinion documents yourself to understand what was decided and how the Court justified its decision. Below is our non-authoritative summary for your convenience:

All currency (crypto and USD) in Prime Trust accounts is property of the bankruptcy estates.

The Plan Administrator may liquidate the estate's cryptocurrency portfolio after soliciting bids from at least three exchanges.

Because assets are being pooled and liquidated, you will receive a pro‑rata payout in U.S. dollars rather than bitcoin.

Claims will be dollarized at the Petition‑Date conversion rates.

Distributions will be made by check, ACH, or wire.

Any single distribution below  $10 will not be issued.

For handling of taxes and KYC collection, a unique code and instructions will be sent to Prime Trust account holders by email (or first‑class mail if no email is on file), with repeat notices 75 and 140 days later. If the requested information is not submitted by the 151st day after the first request, the holder is forever barred from receiving a distribution.

What you should do now

Monitor your email and mailbox for the Plan Administrator’s KYC request and respond within 150 days.

Keep an eye on the court docket for the forthcoming Distribution Notice that will announce the record date.

We recognize this ruling is disappointing, and we share your frustration. Coinbits will continue to bring public attention to the rough treatment our company and its members received in this process.

For factual questions about the procedures above, you may review the public filings Case  23‑11161‑JKS, D.I. 1085 and 1086.