After showing interest in buying liquidity troubled FTX but later retracted his offer within 24 hours, Binance big boss Changpeng ‘CZ’ Zhao is said to be interested on acquiring Genesis’ loan assets.
Following the implosion of FTX, cryptocurrency platform Genesis temporarily halted withdrawals in its lending operation.
FTX, founded by Sam Bankman-Fried and once the third largest cryptocurrency exchange by volume, declared bankruptcy last week.
Genesis informed investors on a Wednesday call that its lending arm was unable to meet all withdrawal requests because of the unusual turbulence caused by the rapid fall of FTX.
Binance Big Boss Reaching Out For Info On Loans
According to Genesis, “abnormal withdrawal requests” have exhausted its “current liquidity.”
Reports indicate that “CZ,” the CEO of Binance, has been communicating for further information on Genesis’ balance sheet as he looks into a possible offer for the crypto platform’s loan assets.
In the third quarter report for 2022, Genesis disclosed active loans worth close to $3 billion.
Digital Currency Group (DCG), the venture capital firm that owns Genesis, Grayscale Investments, and the cryptocurrency news site CoinDesk, states that Genesis’ decision to freeze withdrawals has “no impact on the business operations of DCG” and its other…
