Genesis Global Files For Bankruptcy Protection, Owes More Than $3.6 Billion to Creditors

Genesis Global Holdco, which filed for bankruptcy in New York, owes over $3.6 billion to its top creditors. After filing for Chapter 11 bankruptcy in the Southern District of New York, the company released a list of its 50 largest unsecured creditors.

The claims listed total more than $3.6 billion, with some of the highest claims coming from entities whose identities have been withheld, mainly individual creditors. The list includes claims from well-known crypto firms, with Gemini Trust Company, currently involved in a public dispute with Genesis’s parent company Digital Currency Group, holding the largest claim at $766 million.

Other significant claims listed on the filing include $151 million owed to crypto fund Mirana Corp; $150 million owed to crypto lender Babel Finance (via an entity called Moonalpha Financial Services Limited); $53 million claimed by VanEck New Finance Income Fund; $30 million claimed by Plutus Lending, a division of crypto platform Abra; and $19 million claimed by trading firm Cumberland DRW.

Heliva International Corp also appears on the list with a claim of $55 million. Santiago Esponda, the CFO of Decentraland, is listed as the contact for Heliva, but the COO of Decentraland, Ryan de Tabaoda, stated that the claim is not an official Decentraland investment.

The co-founder of Gemini, a crypto exchange, has threatened to file a lawsuit against Digital Currency Group (DCG) and its founder Barry Silbert for their alleged involvement in a smear campaign against the exchange.

Winklevoss, co-founder of Gemini, stated in a series of tweets on Thursday that legal action will be taken against Digital Currency Group (DCG) and its founder Barry Silbert, unless a fair offer is made to the customers of Gemini’s Earn. Gemini is the largest creditor of Genesis with a claim of $766 million.

Winklevoss, the co-founder of Gemini, has been publicly feuding with Digital Currency Group (DCG) and its founder Barry Silbert over the repayment of a loan. Winklevoss has called for Silbert’s removal from DCG, accusing him of misusing funds between the various companies under DCG and engaging in “bad faith stall tactics” as Gemini tried to retrieve the funds.

Genesis stated in a press release that its restructuring process through bankruptcy protection aims to provide a “holistic solution” that will yield the best results for Genesis clients and users of Gemini Earn.