Gemini

Bitcoin

Arkham

A cryptocurrency wallet related to Genesis Trading has transferred nearly $720 million worth of Bitcoin to the Coinbase exchange during the past month, pointing to the potential start of asset liquidations.
The Genesis Trading-labeled wallet has transferred over 12,600 Bitcoin (<a href="https://cointelegraph.com/bitcoin-price" rel="noopener noreferrer nofollow">BTC</a>) during the past 30 days, worth $719.9 million, mainly in transactions of 500 to 700 BTC.
The address currently holds 33,356 Bitcoin, down from over 46,000 BTC a month ago, on June 12, according to Arkham Intelligence <a href="https://platform.arkhamintelligence.com/explorer/entity/genesis-trading" target="_blank" rel="noopener noreferrer nofollow">data</a>.
<figure><img src="https://s3.cointelegraph.com/uploads/2024-07/f602f762-8280-41a0-a074-488266b0e457.png" alt="Genesis Trading-labelled address moves $720M BTC to Coinbase, pointing to the start of asset liquidations ">
 <figcaption style="text-align: center;">Genesis Trading Wallet. Token balance and outflows. Source: <a href="https://platform.arkhamintelligence.com/explorer/entity/genesis-trading" target="_blank" rel="noopener noreferrer nofollow">Arkham Intelligence</a>
 </figcaption>
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The multi-million Bitcoin transfers come two months after Letitia James, the attorney general for the State of New York announced that her office <a href="https://cointelegraph.com/news/new-york-settlement-genesis-fraud" rel="noopener noreferrer nofollow">reached a settlement with Genesis</a>, requiring the firm to pay $2 billion to defrauded investors over its Earn program.
The settlement requires the funds to be returned to Genesis investors and bans the company from operating in New York.
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<h2 id="genesis-traders-could-be-made-whole">Genesis traders could be made whole</h2>
The Genesis Trading-labelled address could indeed be preparing to start repaying users, based on the amount of assets and recent transfers to centralized exchange (CEX) Coinbase.
The wallet currently holds a total of $2.28 billion worth of cryptocurrency, with $1.91 billion of Bitcoin as the biggest holding, followed by $364 million worth of Ether (<a href="https://cointelegraph.com/ethereum-price" rel="noopener noreferrer nofollow">ETH</a>).
<figure><img src="https://s3.cointelegraph.com/uploads/2024-07/cc349549-e6ed-458a-b5d2-becf3ddff7ea.png" alt="Genesis Trading-labelled address moves $720M BTC to Coinbase, pointing to the start of asset liquidations ">
 <figcaption style="text-align: center;">Genesis Trading wallet, token balance history. Source: Arkham Intelligence
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The amount surpasses the $2 billion in digital assets that the platform was ordered to pay to the defrauded investors of its Earn program.
On June 14, The New York Attorney General’s office announced that it had recovered more than <a href="https://cointelegraph.com/news/gemini-new-york-earn-settlement-investors" rel="noopener noreferrer nofollow">$50 million from Gemini</a> which will be returned to investors in the exchange’s Earn program.
The settlement banned Gemini from operating any cryptocurrency lending program in New York state, and James <a href="https://x.com/NewYorkStateAG/status/1801673233889972644" target="_blank" rel="noopener noreferrer nofollow">said</a> on X that “everyone that Gemini deceived will get their money back.” Gemini Trust <a href="https://x.com/GeminiTrustCo/status/1801656765622231363" target="_blank" rel="noopener noreferrer nofollow">said</a> that affected Earn users could expect “100% of the assets owed to them” within seven days.
Related: <a href="https://cointelegraph.com/news/ecb-explores-blockchain-mpc-technology" rel="noopener noreferrer nofollow">European Central Bank is exploring blockchain and MPC technology</a>
<h2 id="the-genesis-saga">The Genesis saga</h2>
The New York Attorney General’s office <a href="https://cointelegraph.com/news/gemini-genesis-dgc-sued-by-new-york-attorney-general-for-allegedly-defrauding-investors" rel="noopener noreferrer nofollow">filed its lawsuit against Genesis</a> in October 2023, later expanding it to include the Digital Currency Group, its CEO Barry Silbert, and former Genesis CEO Soichiro Moro.
The lawsuit alleged that Gemini had defrauded 230,000 investors — including New York residents — through its Earn program with Genesis Global Capital, failing to disclose its risks.
The New York AG also filed a lawsuit against former Celsius CEO Alex Mashinsky for <a href="https://cointelegraph.com/news/ny-ag-files-lawsuit-against-alex-mashinsky-alleging-he-hid-celsius-dire-financial-condition" rel="noopener noreferrer nofollow">allegedly hiding the platform’s</a> “dire financial condition.” Mashinsky currently faces criminal charges in the Southern District of New York related to securities fraud, wire fraud and conspiracy to commit fraud and is expected to go to trial in January 2025.
Magazine: <a href="https://cointelegraph.com/magazine/2500-film-about-ftx-collapse-amazon-prime-with-help-from-mom/" rel="noopener noreferrer nofollow">The $2,500 doco about FTX collapse on Amazon Prime… with help from mom</a>

Genesis Trading-labelled address moves $720M BTC to Coinbase, pointing to the start of asset liquidations

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