Document Type
Article
Publication Date
2024
Publication
Villanova Law Review
Volume
69
Abbreviation
Vill. L. Rev.
First Page
691
Abstract
This Article examines the tension between bankruptcy law’s strong transparency norms and the extensive sealing of records in major cryptocurrency bankruptcy cases following the 2022–2023 “crypto winter.” Through analysis of cases including FTX, Celsius, Voyager, and BlockFi, the Article shows how crypto debtors have secured broad protective orders shielding creditor identities and internal documents. It argues that these secrecy practices depart from bankruptcy’s traditional information‑forcing function, inhibiting oversight and creditor participation. While valid privacy concerns exist, courts have too readily accepted expansive sealing without rigorous evidentiary support. The Article proposes a normative framework for evaluating sealing requests under §107, emphasizing narrow tailoring, evidentiary grounding, and protection of the public’s structural interest in understanding major financial failures. It concludes by suggesting that broader systemic reforms may be needed to address privacy challenges across bankruptcy practice.