As part of the bankruptcy proceedings, cryptocurrency lending institution Genesis has filed a motion seeking approval from the judge to sell its holdings in Grayscale Trust assets, including nearly $1.4 billion worth of GBTC, as well as $200 million worth of ETHE and ETCG.
Genesis, the bankrupt cryptocurrency lending institution, has filed a new motion with the United States Bankruptcy Court for the Southern District of New York, seeking to sell approximately $1.6 billion worth of trust assets, including:
– Grayscale Bitcoin Trust Fund (GBTC): valued at approximately $1.4 billion
– Grayscale Ethereum Trust Fund (ETHE): valued at approximately $165 million
– Grayscale Ethereum Classic Trust Fund (ETCG): valued at approximately $38 million
Genesis has also proposed a motion to expedite the related deadlines in order to obtain a swift resolution at the bankruptcy court hearing on February 8.
According to a previous analysis report by Chain News, the largest “known” holder of GBTC is actually its parent company, DCG. It holds 35.94 million GBTC shares, valued at $1.27 billion. This figure is not far off from the data in the aforementioned court documents.
(Analysis by Bloomberg: How FTX and DCG’s dumping affected GBTC)
FTX has already completed its dumping, but the $1.3 billion assets held by the largest holder, DCG, have not been approved for sale yet. As of last Friday, GBTC has seen an outflow of $5.8 billion, indicating that the selling pressure is still ongoing.
DCG
GBTC
Genesis
Further reading:
Genesis reaches settlement agreement with SEC, ordered to pay $21 million civil penalty
Compliance check failed! Genesis receives heavy fines of $8 million from New York regulators, BitLicense suspended