Genesis: The collapse of FTX led to a liquidity crisis, and the default of 3AC had a negative impact on it

2022-11-16 21:45:30

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ChainCatcher news, the crypto trading and lending institution Genesis tweeted that the default of 3AC (Three Arrows Capital) has negatively impacted the liquidity of Genesis's lending division, Genesis Global Capital. Since then, Genesis has been reducing its balance sheet risk and enhancing its liquidity position and collateral quality. However, the collapse of FTX has caused unprecedented market turmoil, leading to withdrawal requests that exceeded Genesis's current liquidity.

Earlier, ChainCatcher reported that there were market rumors suggesting that the crypto trading and lending institution Genesis might have solvency issues, and the company would hold a call with creditors at 8:00 AM EST on November 17 to explain the situation. If the news is true, Genesis may sell ETHE and GBTC to repay lenders. (source link)

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