Crypto firm files for bankruptcy

Crypto lending company Genesis is seeking Chapter 11 bankruptcy protection as faltering prices and the downfall of FTX continue to rattle the industry.

Genesis Global Holdco LLC and two of its lending business subsidiaries, Genesis Global Capital and Genesis Asia Pacific, filed for bankruptcy protection in the Southern District of New York. Genesis said its other subsidiaries involved in derivatives and spot trading and custody businesses and Genesis Global Trading aren’t part of the filing.

The Securities and Exchange Commission alleged last week that Genesis Global Capital and the crypto exchange Gemini were selling unregistered securities through a popular program that was supposed to give high interest payments on crypto deposits.