• Alameda Research has settled a claim for $175 million with Genesis, a bankrupt crypto firm.
• The settlement was agreed upon in order to expedite the return of funds to customers and streamline the process of concluding the companies’ dealings.
• FTX initially demanded $4 billion from Genesis but eventually settled for $175 million.
Alameda Research Claims $175M From Bankrupt Crypto Firm
Alameda Research, the trading wing of defunct exchange FTX, has settled a claim for $175 million with bankrupt crypto firm Genesis, according to recent court filings.
The agreement was made in order to streamline the process of concluding the companies’ dealings and expedite the return of funds to their customer base. The initial demand by FTX was for $4 billion but they eventually settled for $175 million.
Genesis Declared Bankruptcy
The maneuver is related to Genesis Global Capital declaring bankruptcy earlier this year in January.
FTX CEO Agrees With Settlement Terms
This backdrop is set against what has been dubbed ‘crypto winter’, where several crypto firms have folded due to being intricately financially interwoven and facing simultaneous bankruptcy hearings.