BlockNews
  • Crypto
  • Finance
  • Politics
  • Memecoins
  • NFT
  • Technology
  • Opinion
No Result
View All Result
FOLLOW
BlockNews
  • Crypto
  • Finance
  • Politics
  • Memecoins
  • NFT
  • Technology
  • Opinion
No Result
View All Result
BlockNews

Gemini Trust Co. Sues Bankrupt Genesis Global Over a $1.6 Billion Stake in Grayscale Bitcoin Trust Shares.

by BlockNews.com Team
October 27, 2023
in Breaking News, Business, Crypto, Featured, Finance
A A
Gemini Trust Co. Sues Bankrupt Genesis Global Over a $1.6 Billion Stake in Grayscale Bitcoin Trust Shares.
1
SHARES
Share on TwitterShare on Reddit
  • Genesis promised over 60 million GBTC shares as collateral to Gemini Earn users, but Genesis still holds most of these shares. Gemini argues these shares should not be used to repay other Genesis creditors.
  • Genesis filed for bankruptcy after the FTX collapse, leading it to be unable to meet withdrawal requests. The GBTC shares were offered as collateral on loans by Genesis.
  • Through a lawsuit, Gemini wants legal clarity that Genesis has no rights to the GBTC shares, as they were promised as collateral to Gemini Earn users specifically.

Gemini Trust Co. has filed a lawsuit against Genesis Global Holdco LLC regarding shares in the Grayscale Bitcoin Trust worth nearly $16 billion. The lawsuit aims to determine the rightful owner of these shares.

Background on the Dispute

Genesis promised over 60 million GBTC shares as collateral to users of Gemini‘s Earn product. Most of these shares are still held by Genesis or its affiliates. Gemini argues these shares should not be used to repay other Genesis creditors.

Genesis Files for Bankruptcy

Genesis filed for bankruptcy earlier this year after the collapse of crypto exchange FTX. This led to Genesis being unable to meet withdrawal requests from customers. The GBTC shares were offered as collateral on loans provided by Genesis.

🚨 NEWS: @Gemini Trust Co. sues bankrupt Genesis Global over a $1.6 billion stake in Grayscale Bitcoin Trust shares. pic.twitter.com/ZsXKizeP9n

— BlockNews.com (@blocknewsdotcom) October 27, 2023

Gemini Seeks Legal Clarity

Through its lawsuit, Gemini wants a judge to confirm Genesis has no rights to the GBTC shares. Gemini contends the shares were promised as collateral to its Earn users and should not be available to Genesis’ other creditors.

The Importance of the Grayscale Bitcoin Trust

The Grayscale Bitcoin Trust allows investors exposure to bitcoin through a traditional investment vehicle without directly holding cryptocurrency. The trust’s shares are publicly traded, making it popular among institutional investors.

Conclusion

The lawsuit centers on determining the ownership rights to GBTC shares worth billions promised as collateral by Genesis. The outcome carries major implications for Genesis creditors and Gemini Earn users amid Genesis’ bankruptcy proceedings.

Tags: BlockchainBusinesscryptoGeminiGenesisWeb3
TweetShareShare

DON'T MISS THESE! HOT OFF THE PRESS

HBAR Price Rebounds, Hits Highest Point Since March
Crypto

HBAR Price Rebounds, Hits Highest Point Since March

May 10, 2025
Memecoins Steal the Spotlight as Ethereum Surges: PEPE and BONK Lead the Charge (Still Early?)
Crypto

Memecoins Steal the Spotlight as Ethereum Surges: PEPE and BONK Lead the Charge (Still Early?)

May 10, 2025
Sui (SUI) Gains 10% Amid Market Optimism — But Is a Selloff Looming?
Crypto

Sui (SUI) Gains 10% Amid Market Optimism — But Is a Selloff Looming?

May 10, 2025
TRON’s USDT Dominance Grows as Whales Tighten Grip
Crypto

TRON’s USDT Dominance Grows as Whales Tighten Grip

May 10, 2025
Cardano ADA Just Broke a KEY Resistance Level: Here is the Next Price Target You Need to Watch
Cardano

Cardano ADA Just Broke a KEY Resistance Level: Here is the Next Price Target You Need to Watch

May 10, 2025
Whale Alert! $153 Million in Dogecoin Moves as DOGE Explodes 14%
Crypto

Whale Alert! $153 Million in Dogecoin Moves as DOGE Explodes 14%

May 10, 2025
Load More

Related News

HBAR Price Rebounds, Hits Highest Point Since March

HBAR Price Rebounds, Hits Highest Point Since March

May 10, 2025
Memecoins Steal the Spotlight as Ethereum Surges: PEPE and BONK Lead the Charge (Still Early?)

Memecoins Steal the Spotlight as Ethereum Surges: PEPE and BONK Lead the Charge (Still Early?)

May 10, 2025
Sui (SUI) Gains 10% Amid Market Optimism — But Is a Selloff Looming?

Sui (SUI) Gains 10% Amid Market Optimism — But Is a Selloff Looming?

May 10, 2025
TRON’s USDT Dominance Grows as Whales Tighten Grip

TRON’s USDT Dominance Grows as Whales Tighten Grip

May 10, 2025
Cardano ADA Just Broke a KEY Resistance Level: Here is the Next Price Target You Need to Watch

Cardano ADA Just Broke a KEY Resistance Level: Here is the Next Price Target You Need to Watch

May 10, 2025
Discord Twitter Youtube TikTok Instagram

BLOCKNEWS.COM

BlockNews

BlockNews.com is your premier source for real-time cryptocurrency, blockchain, and financial market news.

Our mission is to deliver accurate, timely, and insightful information to help both seasoned investors and newcomers navigate the evolving digital economy.

With in-depth analysis, exclusive insights, and up-to-date news, BlockNews.com keeps you informed on the latest trends in crypto, DeFi, NFTs, tech, and beyond.

Stay ahead of the herd with BlockNews.com

RESOURCES

  • About
  • Newsletter
  • Advertise
  • Terms and Conditions
  • Privacy Policy

POPULAR TOPICS

$ADA $XRP AI Avalanche Binance Bitcoin Bitcoin ETF blackrock Blockchain BTC Business Cardano China Coinbase crypto cryptocurrency Crypto Exchange Crypto Regulation DeFi Dogecoin Donald Trump Elon Musk ETF eth ethereum Federal Reserve FTX grayscale Memecoin Meme Coin metaverse Microstrategy NFT NFTs PEPE ripple sec Shiba Inu Solana Stablecoin Technology twitter US Web3 xrp

GET QUICKER UPDATES ON X

© 2022-2025 BlockNews.com - Crypto and NFT news website by Aiur Labs.

No Result
View All Result
  • Home
  • Crypto
  • Memecoins
  • Technology
  • Politics
  • Finance
  • NFT
  • DeFi
  • Opinion

© 2022-2025 BlockNews.com - Crypto and NFT news website by Aiur Labs.