Bankrupt FTX and Genesis Global to Settle Dispute in Bankruptcy Cases

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By BitcoinWiki News

Key Takeaways:

– Bankrupt crypto exchange FTX and crypto lender Genesis have reached an agreement in their bankruptcy cases.
– Genesis emerged as the largest unsecured creditor of FTX, with FTX owing them $226 million.
– FTX claimed that Genesis Global owed them $2 billion, but Genesis denied these claims.
– FTX filed an application to recover $2 billion from Genesis Global, including loans and funds allegedly withdrawn from FTX’s platform.
– Genesis halted redemptions and new loans following FTX’s collapse.
– Genesis filed for Chapter 11 bankruptcy protection with top unsecured claims totaling around $3.4 billion.
– Gemini filed a lawsuit against Digital Currency Group (DCG) and CEO Barry Silbert, alleging fraud against creditors.
– Genesis is owned by DCG.
– Cameron Winklevoss made a proposal in the bankruptcy restructuring of Genesis, offering $1.5 billion in forbearance payments and fresh loans.


FTX, a bankrupt cryptocurrency exchange, and Genesis, a crypto lender, have reached an agreement to settle their disputes within their bankruptcy cases. The agreement was disclosed in a letter submitted to the US bankruptcy court. However, no further details about the settlement were provided. Genesis emerged as the largest unsecured creditor of FTX following its bankruptcy, with FTX owing Genesis $226 million. FTX claimed that Genesis Global owed it $3.9 billion, but Genesis has denied these claims. In May, FTX filed an application to recover $2 billion from Genesis Global. Genesis filed for Chapter 11 bankruptcy protection in January, with the top 50 unsecured claims totaling around $3.4 billion. Gemini, another cryptocurrency platform, recently filed a lawsuit against Digital Currency Group (DCG) and its CEO, Barry Silbert, for allegedly defrauding creditors. Genesis is owned by DCG. The lawsuit came after Cameron Winklevoss, co-founder of Gemini, proposed a restructuring plan for Genesis that included $1.5 billion in forbearance payments and fresh loans.

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