Genesis Seeks Green Light from Bankruptcy Court for $1.4 Billion GBTC Share Sale

Photo of author

By BitcoinWiki News

Key Takeaways:

– Genesis Global Capital, in bankruptcy proceedings, requests permission to sell trust assets worth approximately $1.6 billion
– Assets include shares of Grayscale Bitcoin Trust (GBTC) valued at around $1.4 billion
– GBTC shares initially pledged as collateral by Genesis to Gemini for the Gemini Earn program
– The ownership of GBTC shares is currently a matter pending before the court
– Genesis also seeks legal ownership of additional shares worth around $1.2 billion that were pledged to Gemini but not transferred
– Genesis reached a settlement with the U.S. Securities and Exchange Commission (SEC) to pay a $21 million fine using any remaining funds after the bankruptcy process
– The SEC filed a lawsuit against Genesis and Gemini in January 2023, alleging violations of U.S. securities laws through their crypto lending program
– Genesis suspended withdrawals on its platform in November 2022 and subsequently filed for bankruptcy in January 2023
– FTX, bankrupt cryptocurrency exchange, requests approval to sell its 8% stake in AI startup Anthropic Holdings
– FTX’s 7.84% stake in Anthropic Holdings could be worth approximately $1.4 billion
– FTX collapse victims hope to be fully repaid from the stake’s sale
– FTX’s motion proposes two possible procedures for the sale, including an auction or a private sale


– Genesis Global Capital seeks permission to sell trust assets worth $1.6 billion
– The assets include shares of Grayscale Bitcoin Trust, Grayscale Ethereum Trust, and Grayscale Ethereum Classic Trust
– Genesis requests the court to expedite deadlines for the sale motion, with the hearing set for February 8
– Genesis also seeks legal ownership of additional shares pledged to Gemini
– Gemini views the filing as a significant step forward, particularly following the approval of GBTC as an exchange-traded product
– Genesis reached a $21 million settlement with the U.S. Securities and Exchange Commission (SEC) to resolve a lawsuit concerning the operation of the Gemini Earn program
– The settlement will provide benefits to GGC’s estates, including the resolution of the SEC’s Civil Action Claim filed in these Chapter 11 Cases
– The SEC filed a lawsuit against Genesis and Gemini in January 2023, alleging violations of U.S. securities laws
– Genesis suspended withdrawals on its platform in November 2022 and subsequently filed for bankruptcy in January 2023
– FTX seeks approval to sell its 8% stake in AI startup Anthropic Holdings, potentially worth $1.4 billion
– FTX aims to repay all customer and creditor claims using the funds from the potential sale of the stake

This is sponsored by: Learn Bitcoin Option

Leave a Comment