{"id":600275,"date":"2023-01-22T18:51:24","date_gmt":"2023-01-23T00:51:24","guid":{"rendered":"https:\/\/news.sellorbuyhomefast.com\/index.php\/2023\/01\/22\/genesis-files-for-bankruptcy-ftx-explores-a-reboot-and-bitzlato-news-hodlers-digest-jan-15-21\/"},"modified":"2023-01-22T18:51:24","modified_gmt":"2023-01-23T00:51:24","slug":"genesis-files-for-bankruptcy-ftx-explores-a-reboot-and-bitzlato-news-hodlers-digest-jan-15-21","status":"publish","type":"post","link":"https:\/\/newsycanuse.com\/index.php\/2023\/01\/22\/genesis-files-for-bankruptcy-ftx-explores-a-reboot-and-bitzlato-news-hodlers-digest-jan-15-21\/","title":{"rendered":"Genesis files for bankruptcy, FTX explores a reboot, and Bitzlato news: Hodler\u2019s Digest: Jan. 15-21"},"content":{"rendered":"
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Top Stories This Week<\/strong><\/h2>\n

<\/a>Crypto lender Genesis files for Chapter 11 bankruptcy<\/strong><\/strong><\/h3>\n

FTX contagions continue to spread through the crypto industry<\/a>, with Genesis Capital filing for bankruptcy protection in New York, estimating liabilities in the range of $1 billion to $10 billion, and assets at the same level. The company plans a \u201cdual track process,\u201d which will pursue \u201csale, capital raise, and\/or an equitization transaction\u201d and enable the business \u201cto emerge under new ownership.\u201d <\/strong>Genesis\u2019 derivatives, spot trading, broker-dealer and custody businesses are not included in the proceedings, according to the company. In an effort to maintain liquidity<\/a>, Genesis parent company Digital Currency Group suspended dividend withdrawals.<\/p>\n

Bitzlato and its founder face enforcement actions from US authorities<\/strong><\/h3>\n

United States authorities have taken enforcement<\/a> actions against crypto firm Bitzlato, seizing the company\u2019s website and labeling the business as a \u201cprimary money laundering concern\u201d connected to Russian illicit finance. As part of the case, FBI officials arrested Russian national Anatoly Legkodymov in Miami. The criminal complaint claims the firm was a \u201ccrucial financial resource\u201d for the Hydra darknet marketplace, allowing users to launder funds, including those from ransomware attacks.<\/p>\n

FTX CEO says he is exploring rebooting the exchange<\/strong><\/h3>\n

New <\/strong>FTX CEO John Ray,<\/a> appointed before the bankruptcy proceedings, has set up a task force to consider relaunching FTX.com. He noted in an interview that everything is \u201con the table\u201d when it comes to the future of FTX.com, including a potential path forward with regard to rebooting the exchange. In another headline in the case<\/a>, former FTX CEO Sam Bankman-Fried has been accused of using his influence in the crypto industry to inflate some coins\u2019 prices through a coordinated strategy with Alameda Research. Bankruptcy proceedings are facing challenges, as liquidators of Alameda have suffered<\/a> at least $11.5 million in losses since taking control of its trading accounts..<\/p>\n

<\/a><\/a><\/a>Iran and Russia want to issue new stablecoin backed by gold<\/strong><\/strong><\/h3>\n

The Central Bank of Iran is reportedly cooperating<\/a> with the Russian government to jointly issue a new stablecoin backed by gold. The \u201ctoken of the Persian Gulf region\u201d would serve as a payment method in foreign trade instead of fiat currencies like the United States dollar, the Russian ruble or the Iranian rial. The new cryptocurrency would operate in a special economic zone in Astrakhan, where Russia accepts Iranian cargo shipments.<\/p>\n

<\/a>3AC, Coinflex founders collaborating to raise $25M for new claims trading exchange<\/strong><\/strong><\/strong><\/strong><\/h3>\n

Co-founders of collapsed crypto hedge fund<\/a> Three Arrows Capital (3AC), Su Zhu and Kyle Davies, are trying to raise money for a new cryptocurrency exchange in partnership with Coinflex co-founders Mark Lamb and Sudhu Arumugam. According to a pitch deck, they are looking to raise $25 million. The new exchange will be called GTX, and it will target claims against bankrupt companies, allowing customers to use claims as collateral for trading. The initiative drew criticism<\/a> from the crypto community.<\/p>\n

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Winners and Losers<\/strong><\/h2>\n
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At the end of the week, Bitcoin (<\/strong>BTC<\/strong><\/a>)<\/strong> is at $21,856<\/strong>, Ether (<\/strong>ETH<\/strong><\/a>)<\/strong> at $1,621<\/strong> and XRP<\/strong><\/a> at $0.40<\/strong>. The total market cap is at $1.00 <\/strong>trillion, according<\/a> to CoinMarketCap.<\/p>\n

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Among the biggest 100 cryptocurrencies, the top three altcoin gainers of the week are Frax Share (FXS) <\/strong>at 67.88%, Hedera (HBAR) <\/strong>at 45.32% and Convex Finance (CVX) <\/strong>at 44.01%.<\/p>\n

The top three altcoin losers of the week are Gala (GALA) <\/strong>at -8.20%, Huobi Token (HT) <\/strong>at -6.34% and Trust Wallet Token (TWT)<\/strong> at -3.47%.<\/p>\n

For more info on crypto prices, make sure to read Cointelegraph\u2019s market analysis<\/a>.<\/p>\n<\/div>\n

Most Memorable Quotations<\/strong><\/h2>\n
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\u201cCrypto is getting very interesting because we\u2019re finally starting to see the bear of regulation coming into play and I think, long term, that\u2019s a good thing.\u201d<\/p>\n<\/blockquote>\n

Kevin O\u2019Leary<\/strong><\/a>, venture capital investor<\/strong><\/p>\n

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\u201cI actually thought he [Sam Bankman-Fried] was the Mark Zuckerberg of crypto. I didn\u2019t realize he was the Bernie Madoff. And that\u2019s something I have to own. And so I own it.\u201d<\/p>\n<\/blockquote>\n

Anthony Scaramucci<\/strong><\/a>, co-founder of SkyBridge Capital<\/strong><\/p>\n

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\u201cWhat I\u2019d like to do is to see the CFTC and other regulators provide more guidance this year and I\u2019m very hopeful that perhaps we will see more clarity in the United States.\u201d<\/p>\n<\/blockquote>\n

Caroline Pham<\/strong><\/a>, commissioner of the Commodity Futures Trading Commission (CFTC)<\/strong><\/p>\n

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\u201cBitcoin has just become a 24\/7 VIX. It\u2019s just a trading vehicle now for large funds who want to get in and out of risk on weekends and overnight trading hours.\u201d<\/p>\n<\/blockquote>\n

Jeff Dorman<\/strong><\/a>, chief investment officer at Arca<\/strong><\/p>\n

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\u201cThe huge undertaking of [central bank] digital currencies is not worth the costs and risks.\u201d<\/p>\n<\/blockquote>\n

Tony Yates<\/strong><\/a>, former senior adviser to the Bank of England<\/strong><\/p>\n

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\u201cI don\u2019t think DeFi is meant to attack TradFi. DeFi is supposed to complement TradFi, at least initially.\u201d<\/p>\n<\/blockquote>\n

Emin Gun Sirer<\/strong><\/a>, co-founder and CEO of Ava Labs<\/strong><\/p>\n

Prediction of the Week\u00a0<\/strong><\/h2>\n

Bitcoin eyes $21.4K zone as analyst predicts BTC price will chase gold<\/strong><\/h3>\n

Bitcoin rose toward new multi-month highs<\/a>, with the BTC\/USD pair preserving support at $21,000, according to data from Cointelegraph Markets Pro<\/a> and TradingView<\/a>.<\/p>\n

Prices moving through support or resistance are affecting sentiment, but the trading range is well defined, noted on-chain analytics resource Material Indicators. \u201cI view the lack of BTC liquidity below $18k and above $23k as a lack of sentiment for those levels at this time,\u201d the firm wrote on Twitter.<\/p>\n

FUD of the Week\u00a0<\/strong><\/h2>\n
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<\/a><\/a><\/a><\/strong><\/strong>Silvergate reports $1B net loss in the fourth quarter of 2022<\/strong><\/h3>\n

Silvergate Bank has announced a $1 billion<\/a> net loss attributable to common shareholders in the fourth quarter of 2022. The digital asset bank saw significant outflows of deposits in the last quarter of 2022 mainly due to its relationship with FTX and Alameda Research. Silvergate faces a class-action lawsuit<\/a> over its dealings with the crypto firms. Among the actions taken by the bank to maintain cash liquidity was wholesale funding and the sale of debt securities.<\/p>\n

<\/a><\/strong>Nexo agrees to $45M settlement with SEC and states over Earn product<\/strong><\/h3>\n

Crypto lender Nexo Capital has agreed<\/a> to pay $45 million in penalties to the U.S. Securities and Exchange Commission and the North American Securities Administrators Association for failing to register the offer and sale of its Earn Interest product. According to the company, the regulators did not allege any fraud or misleading business practices. On Jan. 12, Bulgarian prosecutors began searching Nexo\u2019s Bulgarian offices<\/a> for alleged involvement in a large-scale money laundering scheme, as well as violations of Russia\u2019s international sanctions.<\/p>\n

CoinDesk could be up for grabs as parent company DCG scrambles for funds<\/strong><\/h3>\n

A potential sale of cryptocurrency<\/a> media outlet CoinDesk is being considered by parent company Digital Currency Group. Investment bankers from Lazard are helping the firm weigh options, including a full or partial sale. DCG has reportedly received multiple offers exceeding $200 million for the media firm over the last few months. DCG\u2019s venture capital portfolio comprises 200 crypto-related businesses.<\/p>\n

Best Cointelegraph Features<\/strong><\/h2>\n
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<\/a><\/a><\/a><\/a><\/strong><\/a>How to prevent AI from \u2018annihilating humanity\u2019 using blockchain \u2013 Cointelegraph Magazine<\/strong><\/strong><\/h3>\n

Ben Goertzel has devoted<\/a> his life to developing an artificial general intelligence \u2014 and outlines how he plans to massively scale blockchain to control it.<\/p>\n

<\/a><\/a>Crypto Mason\u2019s death threats from maxis: Hall of Flame<\/strong><\/strong><\/h3>\n

Crypto Mason is just 22<\/a>, but he already has more than 1 million social media followers. And why did Lark Davis block him?<\/p>\n

Metaverse not the endgame, but \u2018ongoing digital transformation\u2018: Davos 2023<\/strong><\/h3>\n

Leaders in the Web3 space came together<\/a> at the World Economic Forum in Davos to discuss the first outputs from the \u201cDefining and Building the Metaverse\u201d initiative.<\/p>\n

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Editorial Staff<\/h2>\n

Cointelegraph Magazine writers and reporters contributed to this article.<\/p>\n<\/p><\/div>\n<\/p><\/div>\n<\/p><\/div>\n<\/section>\n

Read More<\/a>
\n Cointelegraph By Editorial Staff<\/p>\n","protected":false},"excerpt":{"rendered":"

Top Stories This Week Crypto lender Genesis files for Chapter 11 bankruptcy FTX contagions continue to spread through the crypto industry, with Genesis Capital filing for bankruptcy protection in New York, estimating liabilities in the range of $1 billion to $10 billion, and assets at the same level. The company plans a \u201cdual track process,\u201d<\/p>\n","protected":false},"author":1,"featured_media":600276,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1474,25889],"tags":[],"class_list":{"0":"post-600275","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-files","8":"category-genesis"},"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/posts\/600275","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/comments?post=600275"}],"version-history":[{"count":0,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/posts\/600275\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/media\/600276"}],"wp:attachment":[{"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/media?parent=600275"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/categories?post=600275"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/tags?post=600275"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}