New Chapter 11 Filing – Genesis Global Capital, LLC
On January 19, 2023, Genesis Global Capital, LLC and certain of its subsidiaries (“Debtors”), filed a petition for relief under Chapter 11 of the Bankruptcy Code in the Bankruptcy Court for the Southern District of New York (Case No. 23-10064(SLH)). The Debtors are a crypto currency lending platform with assets and liabilities in the range of $1 billion to $10 billion. As set forth in the first day declaration, the Debtors have been impacted by the downturns and volatility in the digital asset (crypto) industry. Prior to filing the petition, the Debtors paused all withdrawals for their clients due to unprecedented loan calls that triggered a number of financial and other issues. The Debtors are seeking to reorganize through a plan that may include the sale of some or all of the Debtors’ assets and the first day declaration sets forth an expected timeline for the course of this case.
Cole Schotz P.C. does not represent the Debtors in this case. We are posting this for informational purposes only. If you have received a notice and have any questions, you should contact Debtor’s counsel.
Cole Schotz’s nationally renowned Bankruptcy & Corporate Restructuring group practices in Delaware, Maryland, New Jersey, New York and Texas.
As the law continues to evolve on these matters, please note that this article is current as of date and time of publication and may not reflect subsequent developments. The content and interpretation of the issues addressed herein is subject to change. Cole Schotz P.C. disclaims any and all liability with respect to actions taken or not taken based on any or all of the contents of this publication to the fullest extent permitted by law. This is for general informational purposes and does not constitute legal advice or create an attorney-client relationship. Do not act or refrain from acting upon the information contained in this publication without obtaining legal, financial and tax advice. For further information, please do not hesitate to reach out to your firm contact or to any of the attorneys listed in this publication.
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