Celsius

United

Avalanche

<div class="sg-post-des">
 Bankrupt lender Genesis has asked the court to approve its proposed settlement agreement with the imploded crypto hedge fund 3AC.
</div>
<div class="cointelegraph">
 Bankrupt cryptocurrency lender Genesis has asked the court to approve its proposed settlement agreement with the imploded crypto hedge fund Three Arrows Capital (3AC).
 According to a <a rel="noopener noreferrer nofollow" title="court" href="https://thebittimes.com/tag/court.html">court</a> filing on Nov. 9, Genesis argued that the 3AC debtor should receive an allowed general unsecured <a rel="noopener noreferrer nofollow" title="claim" href="https://thebittimes.com/tag/claim.html">claim</a> against Genesis in the amount of $33 million. The amount accounts for 3.3% of $1 billion in <a rel="noopener noreferrer nofollow" title="claim" href="https://thebittimes.com/tag/claim.html">claim</a>s originally asserted against Genesis debtors.
 “Agreement provides that the 3AC debtor shall receive an allowed general unsecured claim against GGC in the amount of $33 million in full and complete satisfaction of the more than $1 billion dollars in claims asserted against each of the Genesis debtors,” the document reads.
 According to Genesis, 3AC’s $1 billion <a rel="noopener noreferrer nofollow" title="claim" href="https://thebittimes.com/tag/claim.html">claim</a>s against Genesis were the largest asserted <a rel="noopener noreferrer nofollow" title="claim" href="https://thebittimes.com/tag/claim.html">claim</a>s in Chapter 11 cases associated with the collapse of the FTX exchange. Genesis stressed that 3AC Debtor was one of Genesis’s largest borrowers from 2020 to 2022, up until the time of its collapse.
 Additionally, Genesis wants to relinquish all of its <a rel="noopener noreferrer nofollow" title="claim" href="https://thebittimes.com/tag/claim.html">claim</a>s and entitlements to Avalanche (AVAX) tokens and Near Protocol (NEAR) tokens in favor of the 3AC debtor. The bankrupt firms should drop any remaining liabilities, the proposed settlement reads, stating:
 <blockquote>
 “The Genesis debtors and 3AC mutually release each other from liability as set forth in more detail in the Settlement Agreement; and the Genesis debtors expressly retain, and do not otherwise release, any and all claims that they may have against DCG.”
 </blockquote>
 The lender said that the settlement was necessary to provide a smooth path for its Chapter 11 reorganization plans and to reduce potential risks and expenses from litigation.
 Related: Court confirms Celsius bankruptcy exit plan, $2B in crypto to go to creditors
 “The proposed settlement will, among other benefits to the Genesis debtors’ estates, significantly smooth the path to confirmation of the Genesis debtors’ Chapter 11 plan of reorganization, prompt distributions thereunder, and eliminate the risks, expenses, and uncertainty associated with protracted litigation among the parties,” the document reads.
 The proposed settlement agreement was filed at the United States Bankruptcy Court for the Southern District of New York and requires Judge Sean Lane’s <a rel="noopener noreferrer nofollow" title="approval" href="https://thebittimes.com/tag/approval.html">approval</a>. Creditors can object to the settlement by Nov. 24, with a hearing scheduled for Nov. 30.
 The news comes around the anniversary of the FTX exchange collapse a year ago, pulling the cryptocurrency industry into a massive bear market. Genesis and 3AC are just a few of the many companies affected by FTX failure due to exposure to the collapsed platform, with Genesis derivatives business losing access to $175 million locked on FTX.
 Magazine: Hall of Flame: Crypto lawyer Irina Heaver on death threats, lawsuit predictions
 <template data-name="subscription_form" data-type="defi_newsletter"></template>
</div>
Source: <a rel="noopener noreferrer nofollow" target="_blank" href="https://thebittimes.com/genesis-seeks-court-s-approval-to-reduce-3ac-claim-from-1b-to-33m-tbt69859.html">https://thebittimes.com/genesis-seeks-court-s-approval-to-reduce-3ac-claim-from-1b-to-33m-tbt69859.html</a>

Genesis seeks court's approval to reduce 3AC claim from $1B to $33M

TheBitTimes

Other articles published on Nov 10, 2023

Ethereum (ETH) Rallies On BlackRock ETF Filing: Next Stop $2500?

UBS joins HSBC in enabling clients to trade crypto ETFs

The Difference Between Active and Passive Investing

Why Solana (SOL) Will Continue to be One of the Biggest Movers During This Bull Market

Crypto Bettor Turns €100 into €153,000 With 5-Team Parlay Across South and Central American Soccer

LINK, OKB, KAS, RUNE, NEO See Impressive Gains in the Past Week

Join our free newsletter for daily crypto updates!