Crypto Lender Genesis Files For Chapter 11 Bankruptcy Following FTX Crash

According to the Wall Street Journal, cryptocurrency lender Genesis Global Holdco LLC and two of its subsidiaries filed for bankruptcy protection in New York. This is yet another company affected by the collapse of FTX.

According to reports, cryptocurrency prices will begin to plummet at the end of 2021. Before Genesis, cryptocurrency lenders Celsius Network LLC and Voyager Digital filed for bankruptcy last July.

Specifically, Genesis and its two subsidiaries, Genesis Global Capital LLC and Genesis Asia Pacific, have filed for bankruptcy protection.

Genesis stated that it has more than US$150 million in cash on hand, which "can provide sufficient liquidity to support continued business operations and facilitate the restructuring process."

Genesis Global Trading cut 30% of its workforce earlier this month, people familiar with the matter said, in the latest sign of the company's financial troubles.