The lending firm claims to be having constructive conversations with its creditor and plans to resolve the situation without a bankruptcy filing.
Genesis is not planning to file for bankruptcy if it fails to cover a $1 billion shortfall caused by the fall of FTX.
The firm told investors that it would have to file for bankruptcy because of difficulties in raising money for its lending unit.
The report was based on people familiar with the matter.
There were no plans for Genesis to file for bankruptcy and it continued to have constructive discussions with its creditor.
“There are no plans to file for bankruptcy soon. We want to resolve the current situation without having to file for bankruptcy. Genesis continues to have constructive conversations”.
On Nov. 16, Genesis said it had temporarily suspended withdrawals because of the market turmoil.
The company had previously disclosed. $175 million was stuck in an FTX trading account. Sources said that the Digital Currency Group-owned lender was in talks with the exchange.
According to a report from The Wall Street Journal, the business could create a conflict of interest. The matter was not immediately responded to by Binance.
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