BitMart Creditors Organize as Exchange Considers Restructuring
BitMart creditors are organizing after the crypto exchange's decision to wind down its operations. Echo Base, an ad hoc committee of claimholders, was formed on September 2. The group represents a 'significant and growing aggregate balance' of frozen customer assets but did not disclose the number of participating claimholders or the value of their claims.
The committee retained law firms Young Conaway Stargatt & Taylor and Ashbury Legal to explore restructuring, regulatory, and insolvency remedies. Echo Base had submitted a written proposal to BitMart management on August 6, offering up to $10 million to sponsor a pre-negotiated bankruptcy filing. However, the exchange did not respond.
BitMart initially planned to cease platform operations on January 31, 2027, but changed course on August 21, saying it was developing a possible restructuring plan as an alternative to a full wind-down. The exchange appointed White & Case as restructuring counsel and promised another update by September 9.