Genesis cryptocurrency platform files for bankruptcy

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The Genesis cryptocurrency platform files for bankruptcy

The platform of cryptocurrenciesGenesis Global Holdco LLC and two of its lending subsidiaries filed for bankruptcy Thursday night in New York, affected by their broad exposure to the FTX platform collapse strong>last November.

According to The Wall Street Journal, the company finally filed for Chapter 11 bankruptcy protection late at night this Thursday in federal court in Manhattan.

The firm pleaded guilty. filed for bankruptcy along with Genesis Global Capital LLC and Genesis Asia Pacific Pte. Ltd., two of its subsidiaries.

Genesis's spot trading and derivatives subsidiary, custody business and its brokerage arm, Genesis Global Trading, are not included in the bankruptcy filing and are continuing to trade clients, according to the same outlet.

A few days ago, another medium, the Financial Times, published an article. It was stated that Genesis accumulated debts worth more than 3,000 million dollars (about 2,770 million euros).

The American conglomerate Digital Currency Group (DCG), parent company Genesis and other firms in the cryptocurrency ecosystem, such as the digital newspaper CoinDesk and the investment manager Grayscale, were exploring the possibility of selling part of their assets to pay off that debt.