The co-founder of Gemini, Cameron Winklevoss, says that global investment bank Houlihan Lokey has devised a plan on behalf of a committee of creditors to resolve the liquidity issues at Genesis and its parent company, Digital Currency Group (DCG). According to Winklevoss, resolving the liquidity issues would provide a path for Gemini clients to recover assets owed to them by Genesis and DCG following the collapse of FTX. Earn Update: Today, Houlihan Lokey presented a plan on behalf of the Creditor Committee to resolve the liquidity issues at Genesis and…
Tag: Issues
Gemini Creditor Committee Presents Plan to Resolve Liquidity Issues
The creditor committee expects to hear from Genesis and DCG by the end of the week. Source
US Lawmaker Suggests ‘Maybe’ Crypto Should Be Banned Citing Bigger Issues Than FTX – Bitcoin News
A U.S. senator has suggested that cryptocurrency should “maybe” be banned following the collapse of crypto exchange FTX. However, he acknowledged that banning crypto “is very difficult because it will go offshore and who knows how that will work.” Senator Sherrod Brown Suggests Banning Crypto U.S. Senator Sherrod Brown (D-Ohio), the chairman of the Senate Banking, Housing, and Urban Affairs Committee, talked about cryptocurrency in an interview with NBC Sunday. He stated that the Treasury Department and all the different regulatory agencies, including the U.S. Securities and Exchange Commission (SEC)…
Bringing community-based solutions to crypto lending can solve trust issues
A type of decentralized finance (DeFi) that allows investors to lend their crypto tokens in return for regular interest payments, the crypto lending space comprises both centralized and decentralized crypto entities that manage the entire process on behalf of their investors. Offering high annual percentage yields (APY) to investors from whom the tokens have been borrowed, these lending platforms further lend the same assets in the form of collateralized crypto loans to borrowers. However, despite providing businesses with easy access to capital and promising high yields for investors, the crypto…
Gemini Forms Creditors Committee With Houlihan Lokey to Resolve Genesis Liquidity Issues – Bitcoin News
Roughly two weeks ago a report from the Financial Times (FT) claimed Genesis Global Capital owed $900 million to Gemini customers and the publication’s sources noted that the exchange was attempting to recover the funds by creating a creditors committee. 31 days after Gemini paused the Earn program’s withdrawals, Cameron Winklevoss tweeted that it has formed a committee with Houlihan Lokey acting as the financial advisor. Gemini Hopes to ‘Provide a Path for the Recovery of Funds’ With Newly Created Creditors Committee and Houlihan Lokey Advisor On Dec. 17, 2022,…
Bitcoin Giant DCG Has Locked Nearly $300,000,000 in Crypto Amid Liquidity Issues, Says Dutch Exchange
Dutch crypto exchange Bitvavo says that Digital Currency Group (DCG) is withholding hundreds of millions of dollars from it due to liquidity issues. In a recent company statement, Bitvavo says that DCG, which provides off-chain staking services to Bitvavo, is suspending repayments until the liquidity crisis it’s facing is resolved. Bitvavo says that DCG’s issues should have no impact on its platform. “DCG is currently experiencing liquidity problems due to the current turbulence in the crypto market. As a result, DCG has suspended repayments until this liquidity issue has been…
Tesla May Have to Add Bitcoin to its List of Issues
In January 2021, Tesla made a $1.5 billion investment in Bitcoin. Bitcoin was worth more than $30,000 at the time. Tesla’s carrying value on the nearly 42,000 coins retained was over $1.26 billion at the end of the first quarter of 2022, after a few gains and losses. Tesla, the leader in electric vehicles, may have a wild second quarter. First, production issues arose as a result of CV-19 lockdowns in China. There is now the issue of their Bitcoin holdings. Tesla would most certainly have to register a big…
New York State issues guidance for banks seeking to engage in activities with crypto
The New York state Department of Financial Services (DFS) released guidance on Dec. 15 for regulated banks seeking to engage in activities with virtual currency. The guidance, which took effect immediately, describes the application process and “summarizes the types of information the Department considers relevant” for obtaining the agency’s approval. The 11-page document consisted largely of bullet points as it described the informational requirements for several categories, such as “Business Plan” and “Consumer Protection,” in detail, followed by a series of formal checklists. Approval is required 90 days before engaging…
Bermuda Digital Bank Jewel Issues ‘Fully-Backed’ Stablecoin
“Our partnership with Polygon Companies helps power a key part of our long-term stablecoin infrastructure, which brings bank-grade safety, speed, and security to stablecoins,” Jewel Bank’s founder and chairman, Chance Barnett, was cited as saying in the release. Source
Financial Stability Board aims to address crypto-related issues following ‘failure of FTX’
The international monitoring body Financial Stability Board, or FSB, called for a global framework aimed at regulating and supervising crypto in the wake of FTX’s collapse, also saying it would assess vulnerabilities associated with decentralized finance. In a Dec. 6 meeting in Basel, the FSB said it planned to “enhance its crypto-assets monitoring framework” to include “DeFi-specific vulnerability indicators” as well as address the potential impact of having DeFi becoming more closely connected to traditional financial markets. According to the monitoring body, the financial stability risks from the crypto market…