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Bankrupt Cryptocurrency Company Sells Billion-Dollar GBTC, Invests the Money in Bitcoin! - Coin Newsletter
Bankrupt crypto lending platform Genesis has sold its holdings to buy Bitcoin (BTC).
According to court documents filed on Friday, April 5, Genesis purchased 32,041 Bitcoin with cash obtained from completing the sale of Grayscale Bitcoin Trust (GBTC) shares.
The documents revealed that Genesis completed its GBTC share sale on April 2. On Feb. 15, Genesis received permission from a New York bankruptcy court to sell approximately 36 million shares in GBTC, as well as additional shares in the Grayscale Ethereum trust.
At the time, the company's holdings of Grayscale shares were collectively valued at $1.6 billion, of which $1.4 billion was GBTC, $165 million was Grayscale Ethereum Trust, and $38 million was Grayscale Ethereum Classic Trust.
Affected by the mass bankruptcies in the cryptocurrency market last year, DCG's Genesis completely halted withdrawals for its customers and then filed for bankruptcy.