- Genesis made massive crypto transfers on Friday.
- This included over a billion in Bitcoin and hundreds of millions in ETH.
- The bankrupt crypto lender is likely preparing to repay its creditors.
Wallets linked to bankrupt crypto lender Genesis Trading today moved over a billion in Bitcoin and hundreds of millions in Ether in likely preparation for creditor repayments.
Sponsored
Genesis filed for Chapter 11 bankruptcy protection in January last year after suffering crippling losses from FTX’s implosion and the collapse of hedge fund Three Arrows Capital. The company listed over 100,000 creditors with total liabilities ranging from $1.2 billion to $11 billion.
Is Genesis Closing the Bankruptcy Chapter?
According to Arkham Intelligence data, the Genesis-linked wallets moved $1.5 billion worth of crypto assets on Friday. This included over 16,0000 Bitcoin ($1.1 billion) and 166,000 Ether ($521 million).
While it’s unclear where the massive transfers are being directed, the move indicated that Genesis could finally be readying to repay its creditors. The development comes a little over a year after Genesis agreed to repay $1.5 billion to Gemini’s clients.
This included users impacted by the collapse of the crypto exchange’s “Gemini Earn” credit platform, which had used Genesis to receive yields on customers’ deposits. Genesis loaned the deposits to the now-bankrupt Three Arrows Capital hedge fund.
Almost an hour after the massive transfer, Arkham reported that Genesis Bankruptcy had sent billionaire Mark Cuban $19.9 million in Ethereum, a sign that creditors are finally being paid.
Genesis is expected to distribute over $3 billion in claims to its top 50 creditors, including VanEck’s New Finance Income Fund, Cumberland, and Gemini.
Stay updated on the recent $2 billion BTC transfer by the U.S. government:
U.S. Government Triggers Bitcoin Price After $2 Billion BTC Movement
Read about Mt. Gox’s Bitcoin payments to its creditors:
Mt. Gox Confirms Completion of BTC Payments to 17,000 Creditors
