Genesis Creditors Want to Prevent Bankruptcy

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Creditors of OTC platform Genesis Trading are seeking options to keep it from going bankrupt, Bloomberg reports citing its own sources.

According to sources, one group has consulted the law firm Proskauer Rose, while the other is working with Kirkland & Ellis.

In the wake of FTX’s bankruptcy, Genesis’ creditors would like to avoid “an equally chaotic and costly process” for it, insiders added.

A Genesis spokesperson has said:

“Our goal is to resolve the current situation in the lending business without the need for any insolvency filings.”

The company has $2.8 billion in outstanding loans, about 30% of which are provided to affiliates, including Digital Currency Group (DCG) parent company Barry Silbert.