Genesis, the bankrupt crypto lender, has received court approval to proceed with its $3 billion repayment plan. However, Genesis’s parent company, Digital Currency Group (DCG), won’t receive any funds from the plan.
DCG’s Objection Overruled
DCG had objected to the plan, claiming that it would give customers more than they were entitled to. However, the judge dismissed DCG’s objection, stating that they have no stake in the repayment fund since they are junior creditors.
Genesis’s Loans to Alameda and Three Arrows
Prior to its collapse, Genesis lent millions of dollars to Alameda Research and $2.4 billion to Three Arrows Capital, both of which later went bankrupt.
Repayment Plan Details
Genesis’s repayment plan aims to give customers at least 77% of their deposits. The plan faced opposition from DCG, but the judge ruled in favor of Genesis.
Crypto Market Overview
As of writing, the total cryptocurrency market cap is valued at $2.27 trillion, with a slight decline in the past 24 hours.
