Genesis Global Bankruptcy: Committee Appointed to Represent Creditors

A panel has been appointed to represent unsecured creditors in the Genesis Global bankruptcy. This crypto lending company has indeed recently declared bankruptcy. Composed of seven members, the committee will be the spokesperson of the creditors before the court. This is an important step in the bankruptcy process.

Around 50 major unsecured creditors

According to a document filed Feb. 3, William Harrington, U.S. trustee representative, appointed the committee to represent Genesis Global’s unsecured creditors. It is the loan arm of the Genesis trading company. It took a financial hit following the collapses of FTX and Three Arrows Capital last year. On January 20, it filed for Chapter 11 bankruptcy protection.

The application contains a list of principal unsecured claims totaling over $3.6 billion with 50 major creditors. Some receivables the most important are attached to entities whose identity has been censored. They represent nearly half a billion dollars. There are also several high-profile crypto companies there. We find Plutus Lending whose debt amounts to 30 million dollars. There is also New Finance Income Fund with $53 million.

Genesis Global Bankruptcy: Committee Appointed to Represent Creditors
Genesis Global Bankruptcy: Committee Appointed to Represent Creditors

A seven-member committee to represent Genesis creditors

On the list of top 50 unsecured claims, some creditors are members of the committee. This is notably the case of Mirana and Digital Finance Group. SOF International and Bitvavo Custody are also members of Genesis’ creditor representative committee. There are also individual creditors like Teddy Andre Amadeo Gorisse, Richard R. Weston and Amelia Alvarez.

Mirana, an investment arm of crypto exchange Bybit, is the fifth largest creditor. Indeed, it has a debt of 151 million dollars. Investment firm Digital Finance Group holds $37 million. As for the Dutch exchange Bitvavo, it had to suspend its repayments after being unable to access 280 million euros held by Genesis Global.

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