The bankruptcy of crypto ’s marquee lender, Genesis Global Capital, may be one more blow than the industry can withstand, at least in its current form. The list of bull-market stars laid low now includes nearly every major player to have captured the public’s attention by offering market-beating returns for the simple act of depositing tokens. Genesis joins BlockFi Inc., Celsius Network and Voyager Digital among firms whose collapse have left countless clients angry and unlikely to risk more money on their daredevil exploits.
Acting as de facto banks, these firms took in assets which they then lent out freely across the market, often to hedge funds who used the borrowed funds to leverage their bets on iffy tokens. Genesis dished out $130.6 billion of loans in 2021 alone, part of a complex web of interconnected risky trades and toxic loans that helped turbocharge the market, only to spark a cascade of collapses when crypto prices started plummeting last year.
Crypto lending teeters on brink of extinction after Genesis collapseCrypto lending teeters on brink of extinction after Genesis collapse
This will make the market and its practices look more similar to lending in traditional markets, including rules on how much collateral must be posted and how that is managed, experts said. Fees could also be higher as lenders won’t be able to make it back through risky trades, and they’d have to open their books for much more invasive oversight.
Crypto Price Today: Bitcoin near $21,000; Shiba Inu, Cardano rise up to 2%Crypto Price Today: Bitcoin near $21,000; Shiba Inu, Cardano rise up to 2%
Bitcoin rose 0.82% and held near the $21,000 mark, whereas Ethereum was comfortably trading above $1,500 levels. BTC volume in the last 24 hours stood at approximately $21.1 billion, falling 29.2% in the last 24 hours.
Crypto Price Today Live: Bitcoin slips below $21,000; Shiba Inu, Dogecoin drop up to 11%Crypto Price Today Live: Bitcoin slips below $21,000; Shiba Inu, Dogecoin drop up to 11%
The total volume in DeFi is currently $5.06 billion, 8.40% of the total crypto market 24-hour volume. The volume of all stablecoins is now $54.33 billion, which is 90.19% of the total crypto market 24-hour volume.
U.S. to announce international cryptocurrency action -statementU.S. to announce international cryptocurrency action -statement
U.S. officials, including Deputy U.S. Attorney General Lisa Monaco and Deputy U.S. Treasury Secretary Wally Adeyemo, will deliver remarks at 12 p.m. (1700 GMT) in Washington, according to the statement.
Crypto Price Today Live: Bitcoin holds near $21,300; crypto market cap nears $1 trillionCrypto Price Today Live: Bitcoin holds near $21,300; crypto market cap nears $1 trillion
The price of Bitcoin, the world's largest cryptocurrency, hovered around $409.98 billion, with a dominance of about 41.14%, a decrease of 0.04% over the day, according to CoinMarketCap.
FTX says $415 million in crypto was hackedFTX says $415 million in crypto was hacked
The crypto assets recovered to date include $685 million in Solana, $529 million in FTX's proprietary FTT token and $268 million in bitcoin, based on crypto prices on Nov. 11, 2022. Solana, which was lauded by Bankman-Fried, lost most of its value in 2022.
Crypto Price Today Live: Bitcoin holds near $21K; XRP, Dogecoin shed up to 4%
The price of Bitcoin, the world's largest cryptocurrency, hovered around $407.6 billion, with a dominance of about 41.18%, an increase of 0.23% over the day, according to CoinMarketCap
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