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<div class="cryptonews">
 <p class="is-style-lead">Genesis Global Capital has petitioned the U.S. Bankruptcy Court for the Southern District of New York for permission to conduct a massive sale of its assets.</p>
 <p>The company, a subsidiary of the embattled Genesis Global Holdco, is targeting the liquidation of approximately $1.4 billion worth of Grayscale Bitcoin Trust (GBTC) shares.</p>
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    <p lang="en" dir="ltr">Genesis Global Capital filed a new motion with the U.S. Bankruptcy Court for the Southern District of New York seeking authorization to sell approximately $1.6 billion in <a rel="noopener noreferrer nofollow" title="trust" href="https://thebittimes.com/tag/trust.html">trust</a> assets, including Grayscale GBTC valued at approximately $1.4 billion and Grayscale Ethereum Fund…</p>— Wu Blockchain (@WuBlockchain) February 4, 2024
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 <p>According to a Feb. 2 court filing, Genesis and its debtor affiliates have declared that disposing of the <a rel="noopener noreferrer nofollow" title="shares" href="https://thebittimes.com/tag/shares.html">shares</a> is a critical step in maximizing estate value and efficiently managing its assets.</p>
 <p>The development comes as the overall cryptocurrency market undergoes severe fluctuations. The ability to swiftly convert these investments into more liquid assets is considered a viable strategy for stabilization efforts.</p>
 <p>Genesis</p>
 <p>Genesis revealed in the filing that it holds a significant number of GBTC <a rel="noopener noreferrer nofollow" title="shares" href="https://thebittimes.com/tag/shares.html">shares</a>—units that correlate to a specific portion of Bitcoin (BTC) and allow investors a regulated means of gaining exposure to the cryptocurrency’s price movements.</p>
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 <p>The urgency of the motion is palpable, as the bankrupt crypto lender has filed a concurrent request to expedite the proceedings to coincide with the court’s upcoming hearing on Feb. 8.</p>
 <p>These GBTC <a rel="noopener noreferrer nofollow" title="shares" href="https://thebittimes.com/tag/shares.html">shares</a> are particularly notable; they are part of the original collateral for Gemini’s Earn program and include holdings acquired amidst the collapse of Three Arrows Capital.</p>
 <p>Another point of contention stems from the claim to an additional 31.2 million GBTC <a rel="noopener noreferrer nofollow" title="shares" href="https://thebittimes.com/tag/shares.html">shares</a>, valued at around $1.2 billion—assets pledged to Gemini but caught in a legal limbo of unsettled ownership.</p>
 <p>On its end, Gemini has echoed a cautiously optimistic tone, labeling the motion a critical advancement that follows the approval of GBTC as an exchange-traded product earlier this year.&nbsp;</p>
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    <p lang="en" dir="ltr">Earn Update: Late yesterday, Genesis filed a Motion Authorizing Sale of Trust Assets. This is an important step forward following the approval of the Grayscale Bitcoin Trust (GBTC) as an exchange-traded product (ETP) on January 10th. As detailed in the motion, Genesis is seeking…</p>— GeminiTrustCo (@GeminiTrustCo) February 3, 2024
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 <p>Offloading such a substantial quantity of GBTC, which approximates 3.2% of Bitcoin’s total circulating supply, will likely have notable implications for the broader market.</p>
 <p>The plans for liquidation also include assets connected to Ether (ETH) and Ethereum Classic (ETC), reinforcing Genesis’ focused scheme to increase its liquidity and facilitate creditor remuneration.</p>
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<p>Source: <a rel="noopener noreferrer nofollow" target="_blank" href="https://thebittimes.com/bankrupt-genesis-seeks-to-sell-over-1b-worth-of-bitcoin-trust-shares-tbt78837.html">https://thebittimes.com/bankrupt-genesis-seeks-to-sell-over-1b-worth-of-bitcoin-trust-shares-tbt78837.html</a></p>

Bankrupt Genesis seeks to sell over $1b worth of Bitcoin trust shares

TheBitTimes

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