Genesis Trading has moved billions of dollars in recent days, potentially to manage creditor repayments as part of its financial restructuring efforts.
The crypto lender, which is navigating bankruptcy, has reportedly transferred substantial amounts of Bitcoin (BTC) and Ethereum (ETH) in recent days.
Wallets associated with Genesis have reportedly moved 32,256 BTC, valued at approximately $2.12 billion, and 256,775 ETH, worth about $838 million, over the past three days. These transactions included large transfers of 16,600 BTC ($1.1 billion) and 166,300 ETH ($521.1 million) within a single hour, suggesting the assets are likely being redistributed to satisfy creditor claims.
This activity is part of Genesis Trading’s efforts to manage creditor repayments amid its ongoing financial restructuring.
The genesis of all the Genesis Trading troubles
Genesis Trading’s legal and financial troubles started with the collapse of the crypto exchange FTX in November 2022, which led to market contagion.
Genesis was heavily exposed, mainly through its derivatives business, which lost access to $175 million worth of crypto assets locked in an FTX trading account. Consequently, Genesis halted withdrawals and filed for bankruptcy in January 2023.
In May 2023, Genesis reached a substantial $3 billion settlement with New York over allegations of defrauding 230,000 investors via its Earn program. In October 2023, a New York bankruptcy judge approved a $175 million settlement between Genesis and FTX, including the expulsion of multiple claims against Genesis.
The court authorized Genesis to dist
Go to Source to See Full Article
Author: Micah Zimmerman
Tip BTC Newswire with Cryptocurrency
Donate Bitcoin to BTC Newswire
Donate Bitcoin Cash to BTC Newswire
Donate Ethereum to BTC Newswire
Donate Litecoin to BTC Newswire
Donate Monero to BTC Newswire
Donate ZCash to BTC Newswire
