Bloomberg Law
Nov. 22, 2022, 12:13 PM

Crypto Firm Genesis Said to Warn of Bankruptcy Without Funds (3)

Lydia Beyoud
Lydia Beyoud
Bloomberg News
Sonali Basak
Sonali Basak
Bloomberg News
Vildana Hajric
Vildana Hajric
Bloomberg News
Muyao Shen
Muyao Shen
Bloomberg News

Digital-asset brokerage Genesis is struggling to raise fresh cash for its lending unit, and it’s warning potential investors that it may need to file for bankruptcy if its efforts fail, according to people with knowledge of the matter.

Genesis has spent the past several days seeking at least $1 billion in fresh capital, said the people, who asked not to be identified because discussions are private. That included talks over a potential investment from crypto exchange Binance, they said, but funding so far has failed to materialize.

The rush for funding was precipitated by a liquidity crunch at the lender ...

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