The crypto market is trading strong this week with bitcoin price up more than 7% in the week. The digital asset market appears unaffected by the announcement by crypto lender Genesis that it has filed for bankruptcy protection in a US court.
According to bankruptcy court documents signed by interim CEO Derar Islam, Genesis is known to have liabilities of US$ 5.1 billion or the equivalent of Rp. 76.5 trillion (assuming an exchange rate of Rp. 15,000/US$). Previously, the company had implemented a policy of freezing withdrawals last November.
In its first day motion in the US Bankruptcy Court for the Southern District of New York, Islam provided details of Genesis' financial condition that needs to be restructured. Genesis is the latest crypto company to be entangled in the vortex of the FTX crisis, with its three entities - Genesis HoldCo, Genesis Global Capital LLC, and Genesis Asia Pacific PTE. LTD - all filed for bankruptcy protection.
These three entities may not be affected in the form of direct losses at FTX and Alameda. However, faltering investor confidence led to customers demanding Genesis pay US$827 million in loans, forcing its lending unit to freeze withdrawals.
Prior to part of the company's perceived liquidity crunch had started months earlier as Genesis suffered a US$1.2 billion loss from a crypto-asset hedge fund at Three Arrows Capital (3AC), which had already filed for bankruptcy in mid-2022.
At the time of 3AC's downfall, Genesis had $2.4 billion in loans for the fund, but only half of that was recoverable by Genesis, according to court filings.
Despite being hit by many bankruptcies at a number of giant companies, crypto prices have been rallying again this week. Economic conditions that are starting to improve with inflation slowly falling and indications that the central bank will soon end monetary policy tightening seem to be a breath of fresh air for this risky asset class.
As of 11.40 WIB, the world's two main crypto coins with giant market capitalization experienced significant gains. Bitcoin is trading at a price of US$ 22,608 and recorded a gain of 7.71% with a market capitalization of US$ 435.62 billion. Meanwhile Ethereum was traded at US$ 1,653, up 6.25% in the week with a market capitalization of US$ 202.28 billion.
The crypto market is trading strong this week with bitcoin price up more than 7% in the week. The digital asset market appears unaffected by the announcement by crypto lender Genesis that it has filed for bankruptcy protection in a US court.
According to bankruptcy court documents signed by interim CEO Derar Islam, Genesis is known to have liabilities of US$ 5.1 billion or the equivalent of Rp. 76.5 trillion (assuming an exchange rate of Rp. 15,000/US$). Previously, the company had implemented a policy of freezing withdrawals last November.
In its first day motion in the US Bankruptcy Court for the Southern District of New York, Islam provided details of Genesis' financial condition that needs to be restructured. Genesis is the latest crypto company to be entangled in the vortex of the FTX crisis, with its three entities - Genesis HoldCo, Genesis Global Capital LLC, and Genesis Asia Pacific PTE. LTD - all filed for bankruptcy protection.
These three entities may not be affected in the form of direct losses at FTX and Alameda. However, faltering investor confidence led to customers demanding Genesis pay US$827 million in loans, forcing its lending unit to freeze withdrawals.
Prior to part of the company's perceived liquidity crunch had started months earlier as Genesis suffered a US$1.2 billion loss from a crypto-asset hedge fund at Three Arrows Capital (3AC), which had already filed for bankruptcy in mid-2022.
At the time of 3AC's downfall, Genesis had $2.4 billion in loans for the fund, but only half of that was recoverable by Genesis, according to court filings.
Despite being hit by many bankruptcies at a number of giant companies, crypto prices have been rallying again this week. Economic conditions that are starting to improve with inflation slowly falling and indications that the central bank will soon end monetary policy tightening seem to be a breath of fresh air for this risky asset class.
As of 11.40 WIB, the world's two main crypto coins with giant market capitalization experienced significant gains. Bitcoin is trading at a price of US$ 22,608 and recorded a gain of 7.71% with a market capitalization of US$ 435.62 billion. Meanwhile Ethereum was traded at US$ 1,653, up 6.25% in the week with a market capitalization of US$ 202.28 billion.
The crypto market is trading strong this week with bitcoin price up more than 7% in the week. The digital asset market appears unaffected by the announcement by crypto lender Genesis that it has filed for bankruptcy protection in a US court.
According to bankruptcy court documents signed by interim CEO Derar Islam, Genesis is known to have liabilities of US$ 5.1 billion or the equivalent of Rp. 76.5 trillion (assuming an exchange rate of Rp. 15,000/US$). Previously, the company had implemented a policy of freezing withdrawals last November.
In its first day motion in the US Bankruptcy Court for the Southern District of New York, Islam provided details of Genesis' financial condition that needs to be restructured. Genesis is the latest crypto company to be entangled in the vortex of the FTX crisis, with its three entities - Genesis HoldCo, Genesis Global Capital LLC, and Genesis Asia Pacific PTE. LTD - all filed for bankruptcy protection.
These three entities may not be affected in the form of direct losses at FTX and Alameda. However, faltering investor confidence led to customers demanding Genesis pay US$827 million in loans, forcing its lending unit to freeze withdrawals.
Prior to part of the company's perceived liquidity crunch had started months earlier as Genesis suffered a US$1.2 billion loss from a crypto-asset hedge fund at Three Arrows Capital (3AC), which had already filed for bankruptcy in mid-2022.
At the time of 3AC's downfall, Genesis had $2.4 billion in loans for the fund, but only half of that was recoverable by Genesis, according to court filings.
Despite being hit by many bankruptcies at a number of giant companies, crypto prices have been rallying again this week. Economic conditions that are starting to improve with inflation slowly falling and indications that the central bank will soon end monetary policy tightening seem to be a breath of fresh air for this risky asset class.
As of 11.40 WIB, the world's two main crypto coins with giant market capitalization experienced significant gains. Bitcoin is trading at a price of US$ 22,608 and recorded a gain of 7.71% with a market capitalization of US$ 435.62 billion. Meanwhile Ethereum was traded at US$ 1,653, up 6.25% in the week with a market capitalization of US$ 202.28 billion.
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