Bitcoin, the largest digital asset in the cryptocurrency market is in the limelight as Genesis Trading, a major player in the industry has moved a significant amount of BTC to the San Fransisco-based cryptocurrency exchange Coinbase. This transaction comes in the midst of a recent price recovery witnessed around the entire crypto market, indicating a rising optimism among investors and traders.
More Bitcoin Move To Coinbase Exchange
Wu Blockchain, a leading global cryptocurrency and blockchain media led by Colin Wu reported the development on Monday, on the X (formerly Twitter) platform. According to the platform, at 21:49 UTC+8, on Monday, Genesis Trading transferred over 600 BTC, valued at a whopping $37.72 million, to Coinbase.
This transaction aligns with a wider trend observed during the past month when Genesis Trading moved more than 12,000 BTC to the American-based cryptocurrency exchange. The move to Coinbase, reveals a significant change in the dynamics of the market as Bitcoin and other cryptocurrencies recover from recent market turmoil.
Data from Arkham, a leading intelligence platform shows that Genesis Trading’s overall Bitcoin holdings now boast 32,253 BTC, worth a staggering $2.04 billion. Meanwhile, the platform’s overall crypto holdings are valued at $2.44 billion, with Ethereum being the second biggest asset held by the company.
The post read:
Genesis Trading transferred 600 BTC to Coinbase at 21:49 UTC+8 today, worth about $37.72 million. Genesis Trading has transferred more than 12,000 BTC to Coinbase in the past month and is suspected of executing bankruptcy liquidation procedures. Genesis Trading currently holds assets worth about $2.43 billion, including 32,256 BTC and 113,604 ETH.
These moves have caused quite a stir in the crypto community, as market participants are concerned about its impact on the price of Bitcoin, as seen in recent weeks with the German government’s BTC liquidation strategy. However, despite the large-scale move, Bitcoin has managed to garner positive price actions, rising from the $56,600 level to $62,800.
Genesis Trading BTC Moves Linked With Bankruptcy Liquidation Procedures
Although the trading platform has not specified the purpose of these kinds of transactions lately, there are ongoing speculations within the crypto community that the action could be part of Genesis Trading‘s ongoing liquidation procedures.
Back in May, this year, the company was authorized to disperse its assets through a liquidation after its bankruptcy restructuring plan was accepted. Specifically, Genesis Global’s Chapter 11 liquidation plan was accepted by US Bankruptcy Judge Sean Lane, allowing the bankrupt cryptocurrency firm to reimburse its creditors for about $3 billion in cash and Bitcoin.
The bankruptcy proceedings were filed in January 2023 following the suspension of withdrawals in November 2022 due to a liquidity situation. Furthermore, following the failure of settlement discussions with its former partner Gemini and the DCG, the trading platform has been selling off $1.6 billion in assets.
Given the bankruptcy process, these recent huge BTC transfers to Coinbase suggest that Genesis might be converting its digital assets into more liquid forms in compliance with court-mandated procedures and to meet the demands of its creditors.
Featured image from Adobe Stock, chart from Tradingview.com
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