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Another crypto firm goes bankrupt as FTX fallout spreads NHK

US-based cryptocurrency lender Genesis Global Capital and two related firms have filed for bankruptcy protection. The companies are the latest to land in trouble after the collapse of leading crypto exchange operator FTX.

Genesis Global Capital, its parent company, and a group company filed for Chapter 11 bankruptcy protection with a US court on Thursday.

Company officials blame the failure on low liquidity of the crypto market caused by last November's collapse of FTX, and other abnormal developments in the industry in recent months.

Court documents show Genesis Global Capital has an estimated debt of between one and ten billion dollars and creditors numbering more than 100,000.

Crypto lender Blockfi also filed for bankruptcy protection in November.

Leading crypto exchange operator Coinbase halted its Japanese operations this month, citing the poor business environment.
Summary
US-based cryptocurrency lender Genesis Global Capital and related firms filed for Chapter 11 bankruptcy protection, citing low crypto market liquidity post FTX collapse as the reason. The company has an estimated debt of $1-$10 billion with over 100,000 creditors. Crypto lender Blockfi also filed
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ID: ef36165b-48b2-495e-acdf-b842e2a1cf6a

Category ID: nhk

URL: https://www3.nhk.or.jp/nhkworld/en/news/20230121_10/

Date: Jan. 21, 2023

Created: 2023/01/23 07:19

Updated: 2025/12/09 08:32

Last Read: 2023/01/23 07:36