Following the stunning collapse of cryptocurrency exchange FTX, crypto lender Genesis Global Capital suspended redemptions. AFP
Following the stunning collapse of cryptocurrency exchange FTX, crypto lender Genesis Global Capital suspended redemptions. AFP
Following the stunning collapse of cryptocurrency exchange FTX, crypto lender Genesis Global Capital suspended redemptions. AFP
Following the stunning collapse of cryptocurrency exchange FTX, crypto lender Genesis Global Capital suspended redemptions. AFP

Crypto broker Genesis stops loan redemptions after collapse of FTX


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Crypto lender Genesis Global Capital suspended redemptions on Wednesday, blaming the failure of cryptocurrency exchange FTX.

It came as court papers showed founder FTX Sam Bankman-Fried faces legal action, as the exchange's sudden collapse ripples across the industry.

FTX filed for bankruptcy protection in the US on Friday in the highest-profile crypto failure to date, after traders pulled $6 billion from the platform in three days and rival exchange Binance abandoned a rescue deal.

Liquidators in the Bahamas said late on Tuesday that they were challenging the validity of US bankruptcy proceedings, adding further uncertainty for crypto investors.

A spokesman for Genesis Global Trading, the parent of Genesis Global Capital, which also offers crypto trading and custody services, said on Wednesday they had “taken the difficult decision to temporarily suspend redemptions and new loan originations in the lending business”.

The spokesman said Genesis was working to “shore up the necessary liquidity to meet our lending client obligations”, and that Genesis's trading and custody businesses were unaffected.

Genesis's parent Digital Currency Group, an investor which also owns crypto asset manager Grayscale, said on Twitter that the decision to suspend redemptions “was made in response to the extreme market dislocation and loss of industry confidence caused by the FTX implosion”.

The suspension “has no impact on the business operations of DCG and our other wholly owned subsidiaries”, Digital Currency Group said.

Grayscale Bitcoin Trust, the world's largest bitcoin fund, fell almost 7 per cent on Wednesday. Bitcoin fell 2.6 per cent to $16,400. It has fallen by about 20 per cent so far this month.

Joseph Edwards, investment partner at Securitize Capital said: “This shouldn't be seen as a step up, but rather as a step outwards, given that Genesis have a number of significant regulated counterparties — there will be discomfort being felt among OTC desks in Europe and North America in particular.”

US cryptocurrency exchange Gemini said in a blog that Genesis “will not be able to meet customer redemptions” within the agreed five business days for users of Gemini's “Earn” product, where Gemini users can receive interest on balances they deposit on the platform by allowing Gemini to lend them elsewhere.

Several other crypto firms, including Crypto.com and stablecoin Tether said on Wednesday they had no exposure to Genesis. A spokesman for the New York Department of Financial Services said it was monitoring the situation.

Genesis is not alone in facing fallout from FTX's collapse.

Crypto lender BlockFi, which previously acknowledged it had significant exposure to FTX, plans to lay off workers while preparing to file for bankruptcy, The Wall Street Journal reported,

Meanwhile, US court filings showed Mr Bankman-Fried is facing legal action in the US from investors alleging the company's yield-bearing crypto accounts violated Florida law.

The proposed class action lawsuit filed late on Tuesday in Miami alleges that FTX yield-bearing accounts were unregistered securities that were unlawfully sold in the US.

Sam Bankman-Fried, founder and chief executive of FTX, is facing legal action in Florida. Bloomberg
Sam Bankman-Fried, founder and chief executive of FTX, is facing legal action in Florida. Bloomberg

The lawsuit also seeks damages from a number of celebrities who allegedly helped to promote FTX, including NFL quarterback Tom Brady and tennis star Naomi Osaka.

Representatives for Mr Bankman-Fried, Mr Brady and Ms Osaka did not immediately respond to requests for comment on Wednesday.

Bloomberg on Tuesday also reported that US and Bahamian authorities were discussing the possibility of flying Mr Bankman-Fried to the US for questioning.

But Clayton Fernander, the commissioner of police in the Bahamas, said in Nassau on Wednesday on the sidelines of a police conclave that police had not interviewed or met with Mr Bankman-Fried and that Mr Fernander had not been in communication with US authorities in relation to the matter.

The exchange's Bahamas-based liquidators filed a Chapter 15 petition in a US bankruptcy court in New York late on Tuesday questioning the validity of the US bankruptcy proceedings.

The liquidators, appointed by a Bahamas judge on November 10, said that because their filing came before FTX's bankruptcy filing in the US, they were the only ones authorised to begin bankruptcy proceedings for FTX and its affiliates.

The US bankruptcy proceedings involve multiple FTX group companies with more than 100,000 creditors, a number that could surpass 1 million.

Bahamas Office of the Prime Minister said on Wednesday the Bahamas did not have sole oversight of FTX's worldwide operation, and so far it had not identified any deficiencies in its regulatory framework.

Elsewhere, crypto exchange Binance, in a response to a hearing on the crypto industry by a British parliamentary committee on Monday, said it had not contributed to FTX's collapse.

As FTX's problems emerged last week Binance initially said it would sell its holding's of FTX's own token FTT, then signed a non-binding letter of intent to buy FTX’s non-US assets before abandoning the deal.

The US House Financial Services Committee said on Wednesday it planned to hold a hearing in December to investigate the collapse.

Conflict, drought, famine

Estimates of the number of deaths caused by the famine range from 400,000 to 1 million, according to a document prepared for the UK House of Lords in 2024.
It has been claimed that the policies of the Ethiopian government, which took control after deposing Emperor Haile Selassie in a military-led revolution in 1974, contributed to the scale of the famine.
Dr Miriam Bradley, senior lecturer in humanitarian studies at the University of Manchester, has argued that, by the early 1980s, “several government policies combined to cause, rather than prevent, a famine which lasted from 1983 to 1985. Mengistu’s government imposed Stalinist-model agricultural policies involving forced collectivisation and villagisation [relocation of communities into planned villages].
The West became aware of the catastrophe through a series of BBC News reports by journalist Michael Buerk in October 1984 describing a “biblical famine” and containing graphic images of thousands of people, including children, facing starvation.

Band Aid

Bob Geldof, singer with the Irish rock group The Boomtown Rats, formed Band Aid in response to the horrific images shown in the news broadcasts.
With Midge Ure of the band Ultravox, he wrote the hit charity single Do They Know it’s Christmas in December 1984, featuring a string of high-profile musicians.
Following the single’s success, the idea to stage a rock concert evolved.
Live Aid was a series of simultaneous concerts that took place at Wembley Stadium in London, John F Kennedy Stadium in Philadelphia, the US, and at various other venues across the world.
The combined event was broadcast to an estimated worldwide audience of 1.5 billion.

Imperial%20Island%3A%20A%20History%20of%20Empire%20in%20Modern%20Britain
%3Cp%3EAuthor%3A%20Charlotte%20Lydia%20Riley%3Cbr%3EPublisher%3A%20Bodley%20Head%3Cbr%3EPages%3A%20384%3C%2Fp%3E%0A
ELECTION%20RESULTS
%3Cp%3EMacron%E2%80%99s%20Ensemble%20group%20won%20245%20seats.%26nbsp%3B%3C%2Fp%3E%0A%3Cp%3EThe%20second-largest%20group%20in%20parliament%20is%20Nupes%2C%20a%20leftist%20coalition%20led%20by%20Jean-Luc%20Melenchon%2C%20which%20gets%20131%20lawmakers.%26nbsp%3B%3C%2Fp%3E%0A%3Cp%3EThe%20far-right%20National%20Rally%20fared%20much%20better%20than%20expected%20with%2089%20seats.%3C%2Fp%3E%0A%3Cp%3EThe%20centre-right%20Republicans%20and%20their%20allies%20took%2061.%3C%2Fp%3E%0A
WHAT IS GRAPHENE?

It was discovered in 2004, when Russian-born Manchester scientists Andrei Geim and Kostya Novoselov were experimenting with sticky tape and graphite, the material used as lead in pencils.

Placing the tape on the graphite and peeling it, they managed to rip off thin flakes of carbon. In the beginning they got flakes consisting of many layers of graphene. But when they repeated the process many times, the flakes got thinner.

By separating the graphite fragments repeatedly, they managed to create flakes that were just one atom thick. Their experiment led to graphene being isolated for the very first time.

In 2010, Geim and Novoselov were awarded the Nobel Prize for Physics. 

British Grand Prix free practice times in the third and final session at Silverstone on Saturday (top five):

1. Lewis Hamilton (GBR/Mercedes) 1:28.063 (18 laps)

2. Sebastian Vettel (GER/Ferrari) 1:28.095 (14)

3. Valtteri Bottas (FIN/Mercedes) 1:28.137 (20)

4. Kimi Raikkonen (FIN/Ferrari) 1:28.732 (15)

5. Nico Hulkenberg (GER/Renault)  1:29.480 (14)

Thank You for Banking with Us

Director: Laila Abbas

Starring: Yasmine Al Massri, Clara Khoury, Kamel El Basha, Ashraf Barhoum

Rating: 4/5

Company%20Profile
%3Cp%3E%3Cstrong%3ECompany%20name%3A%3C%2Fstrong%3E%20Cargoz%3Cbr%3E%3Cstrong%3EDate%20started%3A%3C%2Fstrong%3E%20January%202022%3Cbr%3E%3Cstrong%3EFounders%3A%3C%2Fstrong%3E%20Premlal%20Pullisserry%20and%20Lijo%20Antony%3Cbr%3E%3Cstrong%3EBased%3A%3C%2Fstrong%3E%20Dubai%3Cbr%3E%3Cstrong%3ENumber%20of%20staff%3A%3C%2Fstrong%3E%2030%3Cbr%3E%3Cstrong%3EInvestment%20stage%3A%3C%2Fstrong%3E%20Seed%3C%2Fp%3E%0A
F1 The Movie

Starring: Brad Pitt, Damson Idris, Kerry Condon, Javier Bardem

Director: Joseph Kosinski

Rating: 4/5

COMPANY%20PROFILE
%3Cp%3E%3Cstrong%3ECompany%20name%3A%3C%2Fstrong%3E%20Alaan%3Cbr%3E%3Cstrong%3EStarted%3A%3C%2Fstrong%3E%202021%3Cbr%3E%3Cstrong%3EBased%3A%3C%2Fstrong%3E%20Dubai%3Cbr%3E%3Cstrong%3EFounders%3A%3C%2Fstrong%3E%20Parthi%20Duraisamy%20and%20Karun%20Kurien%3Cbr%3E%3Cstrong%3ESector%3A%3C%2Fstrong%3E%20FinTech%3Cbr%3E%3Cstrong%3EInvestment%20stage%3A%3C%2Fstrong%3E%20%247%20million%20raised%20in%20total%20%E2%80%94%20%242.5%20million%20in%20a%20seed%20round%20and%20%244.5%20million%20in%20a%20pre-series%20A%20round%3Cbr%3E%3Cbr%3E%3C%2Fp%3E%0A
LILO & STITCH

Starring: Sydney Elizebeth Agudong, Maia Kealoha, Chris Sanders

Director: Dean Fleischer Camp

Rating: 4.5/5

THE CLOWN OF GAZA

Director: Abdulrahman Sabbah 

Starring: Alaa Meqdad

Rating: 4/5

Dubai Bling season three

Cast: Loujain Adada, Zeina Khoury, Farhana Bodi, Ebraheem Al Samadi, Mona Kattan, and couples Safa & Fahad Siddiqui and DJ Bliss & Danya Mohammed 

Rating: 1/5

ARABIAN GULF LEAGUE FIXTURES

Thursday, September 21
Al Dahfra v Sharjah (kick-off 5.35pm)
Al Wasl v Emirates (8.30pm)

Friday, September 22
Dibba v Al Jazira (5.25pm)
Al Nasr v Al Wahda (8.30pm)

Saturday, September 23
Hatta v Al Ain (5.25pm)
Ajman v Shabab Al Ahli (8.30pm)

UAE currency: the story behind the money in your pockets
The specs
Engine: 4.0-litre flat-six
Power: 510hp at 9,000rpm
Torque: 450Nm at 6,100rpm
Transmission: 7-speed PDK auto or 6-speed manual
Fuel economy, combined: 13.8L/100km
On sale: Available to order now
Price: From Dh801,800
The figures behind the event

1) More than 300 in-house cleaning crew

2) 165 staff assigned to sanitise public areas throughout the show

3) 1,000 social distancing stickers

4) 809 hand sanitiser dispensers placed throughout the venue

Benefits of first-time home buyers' scheme
  • Priority access to new homes from participating developers
  • Discounts on sales price of off-plan units
  • Flexible payment plans from developers
  • Mortgages with better interest rates, faster approval times and reduced fees
  • DLD registration fee can be paid through banks or credit cards at zero interest rates
COMPANY PROFILE
Name: Kumulus Water
 
Started: 2021
 
Founders: Iheb Triki and Mohamed Ali Abid
 
Based: Tunisia 
 
Sector: Water technology 
 
Number of staff: 22 
 
Investment raised: $4 million 
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At a glance

Global events: Much of the UK’s economic woes were blamed on “increased global uncertainty”, which can be interpreted as the economic impact of the Ukraine war and the uncertainty over Donald Trump’s tariffs.

 

Growth forecasts: Cut for 2025 from 2 per cent to 1 per cent. The OBR watchdog also estimated inflation will average 3.2 per cent this year

 

Welfare: Universal credit health element cut by 50 per cent and frozen for new claimants, building on cuts to the disability and incapacity bill set out earlier this month

 

Spending cuts: Overall day-to day-spending across government cut by £6.1bn in 2029-30 

 

Tax evasion: Steps to crack down on tax evasion to raise “£6.5bn per year” for the public purse

 

Defence: New high-tech weaponry, upgrading HM Naval Base in Portsmouth

 

Housing: Housebuilding to reach its highest in 40 years, with planning reforms helping generate an extra £3.4bn for public finances

Tips to stay safe during hot weather
  • Stay hydrated: Drink plenty of fluids, especially water. Avoid alcohol and caffeine, which can increase dehydration.
  • Seek cool environments: Use air conditioning, fans, or visit community spaces with climate control.
  • Limit outdoor activities: Avoid strenuous activity during peak heat. If outside, seek shade and wear a wide-brimmed hat.
  • Dress appropriately: Wear lightweight, loose and light-coloured clothing to facilitate heat loss.
  • Check on vulnerable people: Regularly check in on elderly neighbours, young children and those with health conditions.
  • Home adaptations: Use blinds or curtains to block sunlight, avoid using ovens or stoves, and ventilate living spaces during cooler hours.
  • Recognise heat illness: Learn the signs of heat exhaustion and heat stroke (dizziness, confusion, rapid pulse, nausea), and seek medical attention if symptoms occur.
ESSENTIALS

The flights

Emirates flies from Dubai to Phnom Penh via Yangon from Dh2,700 return including taxes. Cambodia Bayon Airlines and Cambodia Angkor Air offer return flights from Phnom Penh to Siem Reap from Dh250 return including taxes. The flight takes about 45 minutes.

The hotels

Rooms at the Raffles Le Royal in Phnom Penh cost from $225 (Dh826) per night including taxes. Rooms at the Grand Hotel d'Angkor cost from $261 (Dh960) per night including taxes.

The tours

A cyclo architecture tour of Phnom Penh costs from $20 (Dh75) per person for about three hours, with Khmer Architecture Tours. Tailor-made tours of all of Cambodia, or sites like Angkor alone, can be arranged by About Asia Travel. Emirates Holidays also offers packages. 

COMPANY%20PROFILE
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Updated: November 17, 2022, 1:37 PM`