Genesis Buys $2.1 Billion in Bitcoin Following GBTC Sale

Bankrupt lending firm Genesis has reportedly liquidated approximately 36 million shares of Grayscale Bitcoin Trust (GBTC) to acquire additional Bitcoin (BTC), as part of efforts to pay creditors.

According to the latest report and Bloomberg, April 2, Genesis liquidated about 36 million shares of GBTC, valued at the time at about $58.50 per share.

Since the end February 2 Genesis asked Approval of the US bankruptcy court sold 36 million shares of GBTC, trading at $38.50, the stock price rose by about 50%.

The total sale was $2.1 billion, allowing the purchase of 32,041 Bitcoin, at a price of $65,685, on April 2. Genesis will use Bitcoin to continue paying creditors.

At the time of publication, 32,041 Bitcoins are worth approximately $2.18 billion.

Not long ago, the crypto exchange Coinbase assured the community that the sale would not have a broad impact on the crypto market.

“Our view is that the majority of these funds will remain within the crypto ecosystem, contributing to the overall impact of the market on the market”Coinbase said.

He explained that the rules of the bankruptcy plan allow Genesis to convert GBTC shares into underlying Bitcoins on behalf of creditors or sell shares and distribute cash.

This comes after Digital Currency Group claimed that Genesis, its subsidiary, offered to pay its customers more than they deserved.

On February 6, Cointelegraph reported DCG’s claim that the current plan of The beginning plans to separate you have creditors “hundreds of millions of dollars in excess of the full amount of their claims up to the date of the petition.”

More than a year ago, in January 2023, Genesis filed for Chapter 11 bankruptcy in the Southern District of New York.