Gemini

Bitcoin ETF

Spot

<p style="text-align: justify">You can also read this news on BH NEWS: <a href="https://en.bitcoinhaber.net/genesis-faces-bankruptcy-challenges-and-disputes-over-creditor-payments" rel="noopener noreferrer nofollow">Genesis Faces Bankruptcy Challenges and Disputes Over Creditor Payments</a><br></p>
<p style="text-align: justify">The cryptocurrency lending sector, once a driving force behind the market’s growth, faced its downfall as high-risk customer activities led to significant market disruptions. With the collapse of large entities like 3AC, major market makers found themselves ousted from the industry. Despite these challenges, by the end of the year, Genesis managed to begin repaying its debts after securing necessary funds, largely due to expectations of a Spot <a href="https://en.bitcoinhaber.net/exploring-bitcoins-resilience-amidst-spot-etf-fluctuations" rel="noopener noreferrer nofollow">Bitcoin</a> ETF’s approval.</p>
<h2 id="disagreements-on-genesis-s-repayment-strategy">Disagreements on Genesis’s Repayment Strategy</h2>
<p style="text-align: justify">At the start of 2023, Genesis declared bankruptcy, but the potential approval of a Spot Bitcoin ETF and capital injections from DCG enabled the company to start repaying creditors. However, the process hit a snag as DCG, Genesis’s parent company, filed objections to the proposed bankruptcy plan. The petition argued that the plan favored certain creditors disproportionately by suggesting excessive payments and deprived DCG of economic and corporate governance rights, which the company claimed showed a lack of good faith.</p>
<h2 id="legal-proceedings-and-upcoming-hearings">Legal Proceedings and Upcoming Hearings</h2>
<p style="text-align: justify">Genesis disclosed over $3.5 billion in liabilities to around 50 creditors. After settling with the SEC on January 31, 2024, for a $21 million fine, Genesis avoided further penalties. Nevertheless, a court hearing on February 14 will bring the disputed repayment issues to the forefront. In the midst of these events, Gemini is also looking to resume principal and stake income payments to its Earn clients. The market watches closely as the next hearing could introduce new uncertainties.</p>
<h5><span style="font-weight:bold;font-size:16px">The post first appeared on BH NEWS: </span> <a href="https://en.bitcoinhaber.net/genesis-faces-bankruptcy-challenges-and-disputes-over-creditor-payments" rel="noopener noreferrer nofollow">Genesis Faces Bankruptcy Challenges and Disputes Over Creditor Payments</a></h5>

Genesis Faces Bankruptcy Challenges and Disputes Over Creditor Payments

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