Cryptocurrency broker Genesis has hired a recovery advisor it
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Cryptocurrency broker Genesis has hired a recovery advisor – it smells like bankruptcy

Cryptocurrency broker Genesis, which has come under pressure from creditors due to liquidity problems following the collapse of crypto exchange FTX, turned to investment bank Moelis & Company for help in exploring options to exit the crisis, including the possible initiation of bankruptcy proceedings . About that informed The New York Times, citing their sources.

    Image source: Kanchanara/unsplash.com

Image source: Kanchanara/unsplash.com

Interlocutors familiar with the situation The “New York Times”, which wished to remain anonymous due to the confidentiality of the proceedings, made it clear that the final decision had not yet been made and that the last resort – filing for bankruptcy – could still be dispensed with.

Genesis previously confirmed it had hired consulting firm Alvarez & Marsal and law firm Cleary Gottlieb to help address the lack of liquidity. Recall that Moelis & Company, hired by Genesis, advised cryptocurrency broker Voyager Digital, which filed for bankruptcy in July, so there is less and less hope that Genesis can handle the crisis.

However, the company does not assume this. “Our goal is to resolve the current situation without filing for bankruptcy,” a Genesis spokesperson said, declining to confirm whether the company had hired additional consultants.

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Robbie Elmers

Robbie Elmers is a staff writer for Tech News Space, covering software, applications and services.

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