Saturday, December 3, 2022
HomeLaw & PoliticsGenesis Trading Reports That $175 Million Has Been Invested In FTX

Genesis Trading Reports That $175 Million Has Been Invested In FTX

Genesis Trading, a market maker and lending subsidiary of Digital Currency Group, revealed that the company’s derivatives business has approximately $175 million worth of funds stashed away in an FTX trading account. Genesis Trading is happy about this news because it shows that the cryptocurrency industry is trying to be open.

Genesis announced the news in a Twitter thread on November 10, and the company underlined that the frozen money will “not impede our market-making efforts.” Genesis shared the news with the public.

Genesis has also claimed that they do not have any continuing relationships with either FTX or its sister company, Alameda Research. The CEO of FTX, Sam Bankman-Fried, has stated that Alameda Research is “also shutting down trade.”

Genesis Tweet:

Genesis

Tether, Circle, Kraken, and Coinbase have all declared that they do not have any exposure to either of the troubled firms, which led to the denunciation of an ongoing relationship that had existed between the two companies. This comes after other companies in the cryptocurrency business tried to distance themselves from the problems caused by FTX.

It remains to be seen whether Genesis’ parent company, Digital Currency Group, will be required to step in like it did after Genesis suffered from its exposure to Three Arrows Capital, despite the fact that Genesis suggested in the thread dated November 10 that its capital and positions in FTX would not prevent the “full functioning of our trading franchise.” Previously, Genesis had suffered from its exposure to Three Arrows Capital (3AC).

After making the statement on November 9 that investors come to them for risk management when market circumstances are unpredictable, Genesis has said that it has “printed record volumes” as a result of the aftermath of the FTX.

However, during the most recent crypto winter, its active loan balances dropped by 74.8%. According to the company’s most recent quarterly report, there are currently $2.8 billion in active loan balances. This is much less than the $11.1 billion that was out there during the same time last year.

Related Posts:

To get daily updates & trending news on crypto follow us on:

Facebook:- https://www.facebook.com/CryptoShrypto/

Instagram:-  https://www.instagram.com/cryptoshrypto_/?hl=en

Twitter:-  https://twitter.com/cryptoshrypto1

Youtube:-  https://www.youtube.com/channel/UCdAOUEQ3L_eYjU_NMDA1zxg

Reporter
Jeewan Singh is CryptoShrypto’s content writer and a seasoned writer with over two years of experience in writing about Indian Securities Market. Jeewan's participation in Blockchain and Cryptocurrency started in late 2020, and he hasn't looked back since. The technical and economic outcomes of cryptocurrency are what spark his curiosity, and he keeps one eye on the market.
RELATED ARTICLES

LEAVE A REPLY

Please enter your comment!
Please enter your name here

five × 3 =

- Advertisment -

Most Popular