Crypto Trading Provider Genesis Halts Services; What’s Next?

Genesis has decided to stop offering digital asset spot and derivatives trading through GGCI

Genesis will no longer offer cryptocurrency trading services through any of its business entities after halting spot and derivatives transactions through GGC International Ltd. The affiliate of Barry Silbert's Digital Currency Group was once one of the largest derivatives trading desks before another of the digital-asset conglomerate's related companies, crypto-lender Genesis Global Holdco, filed for bankruptcy in January, according to Bloomberg.

"Genesis has decided to stop offering digital asset spot and derivatives trading through GGC International, Ltd. (GGCI)," the statement reads. "This decision was made voluntarily and for business reasons. With this termination of services from GGCI, Genesis no longer offers trading services through any of its business entities."

This decision comes after Genesis Global Trading, a company affiliated with DCG but not involved in the same bankruptcy proceedings as Genesis Global Capital, announced in January that it would discontinue its cryptocurrency spot trading services for similar reasons—voluntarily and due to business considerations. Genesis Global Capital's international branch was still actively offering spot and derivatives trading during this time.

In November 2022, GGC ceased withdrawals, citing "unprecedented market turmoil" as the reason. Reports from January indicated that the firm had possibly laid off up to 30% of its workforce before filing for Chapter 11 bankruptcy protection in New York. The Securities and Exchange Commission took legal action against both the cryptocurrency exchange Gemini and Genesis for allegedly offering unregistered securities through Gemini's Earn program. The lending unit of crypto firm Genesis filed for bankruptcy in January after the collapse of key counterparties including FTX caused it to freeze customer redemptions in November. Genesis is owned by venture capital firm Digital Currency Group (DCG).

About Genesis

Genesis is a distinguished institutional trading firm that serves as a crucial link between institutional investors and the dynamic digital asset markets. With a robust track record, it enables transactions, trades, and loans involving billions of dollars in digital currency each month.

What sets Genesis apart is its comprehensive platform, which acts as a centralized hub for a wide spectrum of digital asset services. These services encompass digital asset trading, derivatives, borrowing, lending, custody, and prime brokerage solutions. This all-in-one platform simplifies and streamlines the process for institutional investors, providing them with a single point of access to navigate the complexities of the digital asset landscape.

Behind Genesis is a team of experts with extensive experience garnered from top Wall Street investment banks. Their profound understanding of both traditional finance and the nuances of cryptocurrency markets positions Genesis as a trusted and capable partner for institutional investors seeking to participate in the rapidly evolving world of digital assets.