Crypto venture capital firm Digital Currency Group (DCG) said on Tuesday some of Genesis Capital's creditors declined to stick to the previous restructuring agreement for the lender.
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According to a report from Reuters, some creditors have raised new demands, without elaborating further. DCG noted it plans to "weigh any new demands against the concessions we have previously made."
In January 2023, Genesis Global Capital filed for Chapter 11 bankruptcy. The lender has over 100,000 creditors, owing them $3.4 billion. Genesis proposed a roadmap for exiting the crisis, which includes a Chapter 11 plan that provides a framework for the global resolution of all claims through the creation of a fiat money fund that will distribute assets among creditors.
In February, CoinDesk (owned by DCG) reported Genesis had reached an agreement with its creditors. As part of the agreement, the lender had to wind down its loan book and terminate the sale of its bankrupt entities. The deal also included refinancing the outstanding loans worth $500 million in cash and about $100 million worth of bitcoin (EXANTE: Bitcoin).
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