Genesis Completes Redemption of GBTC Shares, Buys 32K Bitcoins with Proceeds
The company in February got permission from a New York bankruptcy court to sell approximately 36 million shares of Grayscale's Bitcoin Trust.
Apr 5, 2024 at 7:19 p.m. UTC:format(webp)/cloudfront-us-east-1.images.arcpublishing.com/coindesk/YR2ZUNHH2BEB3OQATC3RHZFGZI.jpg)
- Genesis has sold its shares of Grayscale Bitcoin Trust (GBTC) and used the proceeds to buy 32,041 bitcoins
- The bitcoins are worth $2.2 billion at today’s prices
Bankrupt crypto lender Genesis has completed the sale of its Grayscale Bitcoin Trust (GBTC) shares and used the proceeds to purchase 32,041 bitcoins, according to court documents filed Friday.
The sale of GBTC shares was completed on April 2, the documents show.
On Feb. 15, Genesis received permission from a New York bankruptcy court to sell the nearly 36 million shares in GBTC, as well as additional shares in two Grayscale Ethereum trusts. At the time of the application, lawyers for the estate valued the Grayscale shares at a collective $1.6 billion – nearly $1.4 billion in GBTC, $165 million in Grayscale Ethereum Trust, and $38 million in Grayscale Ethereum Classic Trust.
At today’s price of around $67,500, the bitcoin purchased with the proceeds of the GBTC shares alone are worth nearly $2.2 billion. As for what Genesis will do with its large bitcoin stack, initial plans are for the tokens to be distributed to its Gemini Earn creditors.
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Cheyenne Ligon is a CoinDesk news reporter with a focus on crypto regulation and policy. She has no significant crypto holdings.