The company was unable to obtain emergency funds and the withdrawals were suspended.
Key TakeawaysGenesis requested a $1 billion emergency loan, before it suspended withdrawals this Wednesday.
The Wall Street Journal obtained this internal document and reported the news today.
Genesis denied the relevance of the document and stated that it is currently in positive discussions with investors.
Share this article Genesis reportedly experienced a run on deposits related to its retail partners–specifically Gemini Earn, an interest-bearing program from the crypto exchange Gemini.A Genesis representative denied that the document remains relevant. According to the Wall Street Journal, the representative said that the firm is in “positive discussions” with investors. She said that the firm was “exploring all options” and trying to find the best outcome for clients during the suspension of service. Gemini also announced it would suspend its Gemini Earn program. Genesis cited “extremely market dislocation” and “loss of industry confidence” as the reasons for suspending services. It did not comment on its liquidity. Genesis had earlier stated that it had $175 million in funds with FTX on November 10. The company also stated that it had only $175 million of funds locked with FTX. Decentral Media, Inc. does not provide investment advice. We do not provide personalized investment advice or any other financial advice. This website’s information is subject to change at any time. The information on this website could become obsolete or incorrect. You may not be able to update any information that is outdated, incomplete or inaccurate. We also reserve the right to change any information that is incorrect, incomplete or outdated. If you need investment advice about an ICO, IEO or other investment, we strongly recommend that you consult a licensed financial advisor or other qualified financial professional. We do not accept compensation in any form for analyzing or reporting on any ICO, IEO, cryptocurrency, currency, tokenized sales, securities, or commodities.See full terms and conditions.Recommended News