Genesis Capital

Sep 14, 2023

Reuters/REUTERS Several crypto companies have been under pressure after the collapse of major exchange FTX sent shockwaves through the sector Jaiveer Singh Shekhawat, Reuters News September 14, 2023 PHOTO Digital Currency Group (DCG), the parent of bankrupt crypto lender Genesis Capital, said in a court filing on Wednesday that it expects to provide a recovery of 70%-90% for all unsecured creditors under a previously announced agreement. Several crypto companies have been under pressure after the collapse of major exchange FTX sent shockwaves through the sector. Genesis, which filed for bankruptcy protection in January and owes at least $3.4 billion to creditors, reached an in-principle agreement on a restructuring plan a month later to resolve claims. Genesis reached a deal with its largest creditor Gemini after the cryptocurrency exchange sued DCG and its CEO in July for missing the exchange's deadline for agreeing to a restructuring deal. Gemini Earn users are estimated to recover about 95% to 110% of their claims, according to a filing on Wednesday. Venture capital firm DCG owes Genesis Capital approximately $526 million due in May 2023 and $1.1 billion under a promissory note due in June 2032. "We strongly believe the proposed agreement represents the best outcome for all creditors," DCG said in a statement. (Reporting by Jaiveer Singh Shekhawat in Bengaluru; Editing by Shweta Agarwal) Disclaimer: The content of this article is syndicated or provided to this website from an external third party provider. We are not responsible for, and do not control, such external websites, entities, applications or media publishers. The body of the text is provided on an “as is” and “as available” basis and has not been edited in any way. Neither we nor our affiliates guarantee the accuracy of or endorse the views or opinions expressed in this article. Read our full disclaimer policy here . YOU MIGHT ALSO LIKE