Ver Faces $20.86M Claim From Crypto Lender Genesis Subsidiary

• A subsidiary of bankrupt crypto lender Genesis, GGC International Limited, has filed a $20.86 million claim against Bitcoin Cash (BCH) proponent Roger Ver.
• The embattled firm alleged that Ver failed to settle cryptocurrency options trades that expired on Dec. 30, 2022.
• Crypto exchange CoinFLEX previously accused Roger Ver of owing it $47 million USDC and later filed a $84 million claim against the investor.

Crypto lender Genesis has been making headlines recently, this time due to a lawsuit filed by its subsidiary GGC International Limited against Bitcoin Cash (BCH) proponent Roger Ver. The embattled firm has filed a $20.86 million claim against Ver, alleging that he failed to settle cryptocurrency options trades that expired on Dec. 30, 2022.

This is not the first time that Ver has been in hot water. Crypto exchange CoinFLEX previously accused him of owing it $47 million USDC. The exchange later filed a $84 million claim against the investor, which Ver denied.

GGC International Limited is a British Virgin Islands company that is fully owned by Genesis. The company carries out spot trading activity and enters into derivatives referencing digital assets as a principal, according to the bankrupt lender website. The company has requested the court to award it the fees it expended in bringing the case against Ver. Ver has been given 20 days to answer the allegations, otherwise a judgment will be taken against him by default.

It remains to be seen how the case will play out, but it is clear that there is a lot at stake for Ver. The crypto space has been rocked by a number of high profile cases recently, and this could be another in a long line of them. It will be interesting to see how the court will rule on the matter and if Ver is indeed liable for the claims brought against him.

Alameda Research’s $65B Credit Line With FTX Sparks Debate

• Court filings have revealed that Alameda Research had a $65 billion artificial credit line with FTX.
• Thailand has established rules for crypto exchanges and digital wallet management.
• Other news includes Polygon’s hard fork, Ethereum’s rising gas expenditure, a decline in Kazakhstan’s mining hashrate, and Silvergate’s $1 billion loss.

Cryptocurrency news was abuzz today with the reveal that Alameda Research had a $65 billion artificial credit line with FTX. Court filings in the FTX bankruptcy case made this information public and included a deck detailing the current findings relative to FTX group funds. The deck included an illustration of the FTX liquidation process alongside a code sample that allegedly represented the Alameda backdoor.

According to the filing, Alameda was exempt from auto-liquidation and wasn’t required to post any real collateral for trades. This means that Alameda was allowed to trade with artificial credits, which was 43,000% more than the credit line available to FTX market makers. This news has sparked debate and controversy in the crypto community as many are questioning the ethics and legality of this kind of transaction.

In other news, Thailand has established rules that will require all crypto companies to have a digital wallet management system. This mandate has been put in place in order to ensure that crypto exchanges and wallets operate in compliance with local regulations. The new system will also facilitate greater control and transparency in the Thai crypto market.

Polygon has completed its hard fork and is now fully launched on the Ethereum mainnet. The hard fork was necessary for the implementation of Ethereum 2.0 and has been welcomed by the crypto community.

Ethereum’s weekly gas expenditure has been on the rise, a sign that the network is becoming increasingly active. This is due to the increasing number of transactions occurring on Ethereum’s blockchain.

Kazakhstan’s mining hashrate has seen a decline over the past few weeks, likely due to the increasing difficulty of mining. This could be a sign that miners are becoming less interested in the Kazakh market, potentially due to the recent regulatory changes.

Silvergate has posted a $1 billion loss due to an “accounting error”. The company has stated that the loss was due to an “accounting error in the first quarter of 2021” and that the error has since been rectified.

Finally, research on mining company holdings has indicated that the bitcoin halving has caused a significant shift in the industry. The halving has caused miners to shift their strategy from short-term profits to long-term investments. This shift has been reflected in the holdings of major mining companies, which now have a higher percentage of their funds invested in cryptocurrencies.

FTX’s Assets Revealed: $5B in Transactions, $1.6B in Crypto

• FTX’s total assets have been disclosed in a new court filing, totaling roughly $5B of transactions under review.
• Of these assets, $1.6B were crypto assets, $1.9B were attributed to Alameda between hot wallets and BitGo custody, and $181M were recovered from FTX US tied to BitGo custody accounts.
• The largest illiquid holding was Serum (SRM), with a value of $1.9 billion, followed by SOLETH and MAPS at $561 million and $521 million respectively.

FTX.com, a cryptocurrency exchange, recently had their total assets revealed in a new court filing, totaling roughly $5 billion of transactions under review. Of these assets, $1.6 billion were crypto assets, with the largest illiquid holding being Serum (SRM), with a value of $1.9 billion. This was followed by SOLETH and MAPS at $561 million and $521 million respectively.

Alongside the crypto assets, $1.9 billion were attributed to Alameda between hot wallets and BitGo custody, and $181 million were recovered from FTX US tied to BitGo custody accounts. This was in addition to the $90 million that was ‚hacked‘ by an insider alleged to be SBF, though he denied this accusation in Twitter Spaces prior to his arrest.

Due to the disparity between the $1.6 billion in crypto assets and the $5.5 billion in total assets recovered by FTX Debtors, a shortfall was declared by the investigators. This included a significant amount of the MAPS tokens, with FTX holding 15% of the total market cap of the project. This has meant that offloading the MAPS tokens would likely have a detrimental effect on the project’s market cap, making it difficult and risky for FTX to liquidate these assets.

Ultimately, this court filing has shed light on the assets held by FTX, revealing a significant amount of illiquid tokens as well as a shortfall in assets. It remains to be seen how FTX will resolve this issue and what the effects of liquidating the illiquid assets will be.