Tr?id=566623520170033&ev=PageView&noscript=1

Genesis Global Capital Prepares to File for Bankruptcy

Posted on January 19th, 2023 at 2:04 PM
Genesis Global Capital Prepares to File for Bankruptcy

From the Desk of Jim Eccleston at Eccleston Law.

Genesis Global Capital is preparing to file for bankruptcy as soon as this week, according to sources interviewed by Bloomberg News.

Genesis, which is the cryptocurrency lending unit of Digital Currency Group, has participated in confidential negotiations with several creditor groups amidst a liquidity crisis. Bloomberg previously reported that Genesis had warned that it may pursue bankruptcy if the business fails to raise sufficient funds.

Digital Currency Group initially began to face financial pressure after the collapse of hedge fund Three Arrows Capital. Genesis additionally suspended withdrawals last November after FTX, which held certain funds for Genesis, filed for bankruptcy protection. Genesis, Digital Currency Group and various creditor groups have exchanged numerous proposals, but the parties have yet to come to an agreement. However, negotiations are ongoing and plans may change, according to sources.

Eccleston Law LLC represents investors and financial advisors nationwide in securities, employment, regulatory and disciplinary matters.

Tags: eccleston, eccleston law, advisors, law, sec

Return to Archive

TESTIMONIALS

Previous
Next
Quotes Bigger

As a financial advisor with over 20 years of experience, I feel fortunate to call Jim my attorney and friend. He is a fantastic lawyer and trusted advisor. He is skilled in the matters necessary to do the job well. He uses his thoughtful approach and calm demeanor to achieve a positive outcome for the client. If you want to feel confident that nothing will be missed and that you will be represented in a highly professional manner, call Jim Eccleston.

Bill C. and Dan M.

LATEST NEWS AND ARTICLES

1775060885 Law
April 1, 2026
Florida FINRA Arbitration Panel Orders Charles Schwab to Pay $3.8 Million to Investors

A Financial Industry Regulatory Authority (FINRA) arbitration panel has ordered Charles Schwab & Co.

1774973592 Law
March 31, 2026
Cybersecurity Breach at Edelman Financial Engines Highlights Growing Risks for Advisory Firms

A recent cybersecurity incident involving Edelman Financial Engines has drawn attention to the increasing number of cyberattacks targeting registered investment advisers, according to Financial Advisor News.

1774884494 Law
March 30, 2026
SEC and CFTC Plan Coordinated Examinations and Enforcement Efforts

The Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) plan to coordinate examinations and enforcement actions involving firms that fall under both agencies' jurisdiction, signaling a renewed effort to streamline regulatory oversight, according to AdvisorHub.