The Prime Trust shit show is just a distraction. Bitcoin only companies got out and moved to different custodians or started to self custody. Most Bitcoiners that used Swan, Strike, and Fold actively withdrew their Bitcoin to their old cold storage.
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It's going to be fodder for regulators.
Everyone who gets caught up in these types of things need to learn the hard way. If it wasn't from FTX or Blockfi, it will be from Prime Trust or something else.
It’s a distraction that will create an interesting precedent. The bankruptcy courts could attempt clawbacks from some, at some percentage, denominated in fiat most likely, even if withdrawn to cold storage. An interesting precedent when set. Also, proves that a vertically integrated business like cash app is more likely to be successful than one of the interdependent strategies so common in traditional finance.
Bitcoiner who dealt in one form or another with Prime Trust will be subject to clawbacks. That could make things financially complicated for some people depending on the circumstances.
I didn't know their was still something going on.
