Tausi Insider

Turmoil in the cryptocurrency industry has rattled major exchanges and sent the value of digital assets tumbling, but at least one group stands to gain: bankruptcy lawyers. High-profile bankruptcies involving crypto exchange FTX, hedge fund Three Arrows Capital and crypto lenders BlockFi, Celsius Network and Voyager Digital Ltd are generating new opportunities – and big fees – for law firms that counsel troubled companies. Large law firms can rake in more than $100-million in legal fees during a long-running bankruptcy, experts said. “You’ve got to pay the gravedigger,” said Adam Levitin, a law professor at Georgetown University who specializes in bankruptcy law. “These are complicated cases with a bunch of novel issues, and it shouldn’t be surprising that they are going to require a lot of attorney involvement.” The value of bitcoin has dropped 65 per cent so far this year, dragging down other crypto assets and leaving investors reeling. The spectacular implosion of FTX last month s...

U.S. private equity giant Thoma Bravo is acquiring waterloo-based cybercrime software maker Magnet Forensics and combining it with Grayshift LLC of Atlanta. Magnet CEO Adam Belsher (pictured) will become CEO of the combined company. Fred Lum/Tausi Insider U.S. private equity giant Thoma Bravo has agreed to buy cybercrime software maker Magnet Forensics MAGT-T, a darling of Canada’s technology scene, for $1.8-billion and will merge it with another company it owns. Thoma Bravo said Friday it will pay $44.25 per share to holders of subordinate voting stock in Waterloo, Ont.-based Magnet, which sells digital investigation software used by law enforcement agencies and corporations to investigate cybercrimes. That is a 15.4-per-cent premium to closing price Thursday. It will also pay $39 a share to the three holders of Magnet’s multiple voting shares: co-founders Adam Belsher and Jad Saliba, and chairman Jim Balsillie. The trio, who own 28.9 million supervoting shares and hold 95-per-cent ...