{"id":78301,"date":"2023-05-04T15:52:07","date_gmt":"2023-05-04T12:52:07","guid":{"rendered":"https:\/\/forklog.com\/en\/?p=78301"},"modified":"2025-09-11T04:15:52","modified_gmt":"2025-09-11T01:15:52","slug":"ftx-seeks-4-billion-from-bankrupt-genesis","status":"publish","type":"post","link":"https:\/\/u1f987.com\/en\/ftx-seeks-4-billion-from-bankrupt-genesis\/","title":{"rendered":"FTX seeks $4 billion from bankrupt Genesis"},"content":{"rendered":"<p>FTX lawyers filed a lawsuit against the bankrupt crypto-lending platform Genesis, demanding the return of $4 billion.<\/p>\n<blockquote class=\"twitter-tweet\">\n<p lang=\"en\" dir=\"ltr\">FTX moves to claw back $3.9 billion from Genesis.<\/p>\n<p>1. $2.1 billion loan repayments\/collateral pledge<br \/>2. $1.8 billion FTX exchange withdrawals <a href=\"https:\/\/t.co\/1SsW8yoPck\">pic.twitter.com\/1SsW8yoPck<\/a><\/p>\n<p>\u2014 FTX 2.0 shareholder (in spe) (@AFTXcreditor) <a href=\"https:\/\/twitter.com\/AFTXcreditor\/status\/1653883349021106179?ref_src=twsrc%5Etfw\">May 3, 2023<\/a><\/p><\/blockquote>\n<p> <script async=\"\" src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p>Documents show that 90 days before Alameda Research&#8217;s collapse, it extended Genesis a loan of $1.8 billion and provided collateral of $273 million.<\/p>\n<p>FTX is also seeking to recover $1.6 billion and $213 million that Genesis and its subsidiary withdrew from the exchange shortly before its <a href=\"https:\/\/u1f987.com\/en\/news\/ftx-group-files-for-bankruptcy-sam-bankman-fried-resigns-as-ceo\">collapse<\/a>.<\/p>\n<p>On November 16, 2022, the crypto-lending platform Genesis Global Capital <a href=\"https:\/\/u1f987.com\/en\/news\/genesis-global-capital-suspends-crypto-lending-operations\">froze withdrawals<\/a> and the issuing of new loans. The firm cited \u201cheightened client withdrawal requests\u201d after <a href=\"https:\/\/u1f987.com\/en\/news\/ftx-group-files-for-bankruptcy-sam-bankman-fried-resigns-as-ceo\">the collapse of FTX<\/a>.<\/p>\n<p>In January 2023, Genesis Global Holdco and its subsidiaries Genesis Asia Pacific and Genesis Global Capital <a href=\"https:\/\/u1f987.com\/en\/news\/genesis-part-of-digital-currency-group-files-for-bankruptcy\">filed for bankruptcy<\/a>. According to media reports, their liabilities <a href=\"https:\/\/u1f987.com\/en\/news\/financial-times-genesis-global-capital-owes-creditors-more-than-3-billion\">exceed $3 billion<\/a>.<\/p>\n<p>Parallel to the loan proceedings, a trio of media groups \u2014 The New York Times, The Financial Times and Bloomberg \u2014 <a href=\"https:\/\/restructuring.ra.kroll.com\/FTX\/Home-DownloadPDF?id1=MTQ5Njk4NA==&#038;id2=-1\">\u043e\u0431\u0440\u0430\u0442\u0438\u043b\u0430\u0441\u044c<\/a> in bankruptcy court seeking to disclose the names of 9 million FTX clients.<\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>\u00abThere are no legal grounds to allow exchange users to participate anonymously in bankruptcy proceedings,\u00bb the statement said.<\/p>\n<\/blockquote>\n<p>This is not the first time media have pressed such demands. Yet last time, FTX security expert Jeremy Sheridan warned that the platform&#8217;s clients could fall victim to fraud.<\/p>\n<p>He recalled the situation with <a href=\"https:\/\/u1f987.com\/en\/news\/celsius-files-for-bankruptcy-protection\">the collapsed custodial service Celsius<\/a>, when after the publication of personal data, users began receiving suspicious calls and offers. In particular, the attackers impersonated the company&#8217;s lawyers and brokers.<\/p>\n<p>In response, the media groups argued that FTX and Celsius customers are actually less susceptible to scammers, given their familiarity with most of the scams taking place in the crypto sector.<\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>\u00abDespite possible attempts, there is officially no evidence that any individuals named in the Celsius proceedings have fallen victim to extortionists \u2014 neither their personal data nor their digital assets were harmed,\u00bb the media group asserts.<\/p>\n<\/blockquote>\n<p>In May, FTX&#8217;s consultants and lawyers <a href=\"https:\/\/u1f987.com\/en\/news\/ftx-advisers-and-lawyers-bill-103m-for-q1\">billed<\/a> $103 million for services in the first quarter.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>FTX lawyers filed a lawsuit against the bankrupt crypto-lending platform Genesis, demanding the return of $4 billion.<\/p>\n","protected":false},"author":1,"featured_media":78302,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"select":"1","news_style_id":"1","cryptorium_level":"","_short_excerpt_text":"","creation_source":"","_metatest_mainpost_news_update":false,"footnotes":""},"categories":[3],"tags":[1162,1236,1380],"class_list":["post-78301","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-and-analysis","tag-court-cases","tag-ftx","tag-genesis-global-capital"],"aioseo_notices":[],"amp_enabled":true,"views":"21","promo_type":"1","layout_type":"1","short_excerpt":"","is_update":"","_links":{"self":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/78301","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/comments?post=78301"}],"version-history":[{"count":1,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/78301\/revisions"}],"predecessor-version":[{"id":78303,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/78301\/revisions\/78303"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/media\/78302"}],"wp:attachment":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/media?parent=78301"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/categories?post=78301"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/tags?post=78301"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}