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Genesis: Mediation Process to Reach Agreement With Creditors

The bankrupt crypto lender Genesis and its main creditors group have agreed to a 30-day mediation process to develop a restructuring plan that both sides will approve.

By Mike Hesp
• 3 min read
Genesis: Mediation Process to Reach Agreement With Creditors

The bankrupt crypto lender Genesis and its key creditor group have agreed to a 30-day mediation process to develop a restructuring plan that both sides will approve.

The goal of the process is to have a plan submitted in February for the bankruptcy termination, with creditors able to recover 80% of their losses. According to Bloomberg, the creditors' committee rejects Genesis's current restructuring proposal and is aiming for better terms. Genesis hopes to hold two "significant" mediation sessions by May 8, per the company's lawyer, Sean O'Neal.

Crypto exchange Gemini is one of the largest creditors and supports the mediation. The company posted on 30 April View post on X that a definitive solution should be found "as soon as possible." On January 19, Genesis filed for Chapter 11 bankruptcy in the Southern District of New York, officially declaring itself bankrupt.

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