important point
- Genesis filed for bankruptcy.
- Crypto lenders owed over $3.5 billion to the top 50 creditors.
- Gemini co-founder Cameron Winklevoss has threatened to sue DCG CEO Barry Silbert.
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Digital currency group subsidiary Genesis Global Capital has filed for bankruptcy protection. He owes over $3.5 billion to his top 50 creditors.
$3.5 billion debt
After months of uncertainty, Genesis finally surrendered.
Troubled crypto lending firm Genesis Global Capital yesterday filed for Chapter 11 bankruptcy protection in the US Bankruptcy Court for the Southern District of New York.
Shortly after filing for bankruptcy, the company released a list of its top 50 creditors that included names like Gemini, Cumberland, Milana and Moon Alpha Finance. Other large creditor names have been redacted. According to the documents, Genesis Global Capital owes more than $3.5 billion of his debts to creditors on its list.
The company estimated assets and liabilities at $1 billion to $10 billion, while Genesis Global Capital’s parent company, Genesis Global Horco, and subsidiary Genesis Asia Pacific each have assets and liabilities in the range of $100 million to $500 million. marked
Cryptocurrency lender initially affected by Terra collapse and subsequent wipeout of Three Arrows Capital freeze loan origination and redemption He cited extreme market turmoil in the immediate aftermath of the November 16th FTX implosion.
As a result, cryptocurrency exchange Gemini was forced to end an earning program that offered Gemini customers the opportunity to lend their crypto assets to Genesis at healthy interest rates. Later, Gemini co-founder Cameron Winklevoss began publishing an open letter on Twitter aimed at Digital Currency Group CEO Barry Silbert, accusing him of cheating Gemini Earn customers. Genesis acts as a subsidiary of his Digital Currency Group.
Following news of Genesis’ bankruptcy filing, Winklevoss i posted it on twitter againthreatened to sue Silbert and the Digital Currency Group if they fail to “come back to their senses and make a fair offer to their creditors.”
Disclaimer: At the time of writing, the author of this article owned BTC, ETH, and several other crypto assets.