Genesis has begun distributing $4 billion in digital assets and cash to creditors. This announcement coincides with a market drop, with significant movements in Bitcoin and Ethereum holdings linked to Genesis.
Points
- Genesis starts distributing $4 billion to creditors.
- Bitcoin creditors receive 51.28% recoveries in-kind.
- Ethereum creditors receive significant recoveries.
- The market reacts with a notable drop in Bitcoin and Ethereum prices.
Genesis has initiated the distribution of approximately $4 billion in digital assets and cash to its creditors. This development marks a significant milestone in the company’s journey since filing for bankruptcy in early 2023. Bitcoin creditors will receive 51.28% recoveries in-kind, while Ethereum creditors are also set to receive substantial recoveries.
The announcement of these distributions coincides with a noticeable market downturn. Genesis-linked wallets moved 16,600 BTC and 166,300 ETH, contributing
to a broader sell-off in the crypto market. This sudden shift has led to a significant decline in the prices of Bitcoin and Ethereum, stirring panic among investors.
Altcoin creditors, excluding Solana, will receive an average of 87.65% recoveries. Solana creditors, however, will receive only 29.58% recoveries. US dollar and stablecoin creditors are more fortunate, receiving 100% recoveries in US dollars. The completion of Genesis’ restructuring marks a pivotal moment for the company, but the repercussions of these large-scale asset movements are being felt across the entire crypto market.
Crypto analyst Mezoteric highlighted the severity of the situation on X （formerly Twitter）, suggesting that the FTX-linked revelation could create a $6 billion selling pressure for Solana, further exacerbating the market’s instability.
BREAKING
SOLANA is dying after FTX whistleblower shows that they still hold 8% in secret wallets.
This is 6 BILLION in sell pressure.
https://twitter.com/mezoteric/status/1819080013121310923
Mezoteric shared…
解説
- Genesis’ large-scale asset distribution is causing ripples across the crypto market, impacting major coins like Bitcoin and Ethereum.
- The significant movement of assets has led to a decline in prices, highlighting the market’s sensitivity to large transactions.
- Altcoin creditors are seeing varied recovery percentages, with Solana creditors receiving notably less than others.
- Understanding the impact of such distributions is crucial for investors to navigate the volatility and make informed decisions.