Crypto Lender Genesis Global Files For Bankruptcy Protection

crypto firm’s lending unit Produce filed for US bankruptcy protection from creditors on Thursday after a dramatic market decline that has affected other crypto giants ftx ftt/usd And blockfi,

What happened: Genesis’ lending unit reported having between $1 billion and $10 billion in assets and liabilities in a filing with the US bankruptcy court.

Genesis Global Capital, one of the largest crypto lenders, shocked its customers on November 16 when it halted customer redemptions after FTX declared bankruptcy.

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cameron winklevossCo-Founder and President of Crypto Exchange Gemini GUSD/USDWho was it Accused Genesis Parent DCG and its CEO Barry Silbert defrauded his firm, saying the bankruptcy was “an important step toward emerging Gemini earning users’ property.

Winklevoss said Silbert and DCG continue to deny creditors a fair settlement despite negotiations for an “acceptable solution”.

“The good news is that, by seeking the protection of the bankruptcy court, Genesis will be subject to judicial oversight and will be required to provide discovery into the conspiracies that brought us to this point,” Winklevoss tweeted, adding that his company was “Preparing to take direct legal action against Barry, DCG and others.

Winklevoss said that unless Silbert and DCG made a fair and reasonable offer to the creditors, they would face an “imminent” lawsuit.

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