An evaluation of the Arkham Intelligence dashboard CryptoSlate Analysis reveals that well-liked crypto lender Genesis obtained billions in FTT tokens from bankrupt crypto corporations Alameda Analysis and FTX over the previous yr.
For context, Genesis obtained $932.56 million price of FTT tokens from FTX inside the final three months, whereas it obtained $141.1 million price of struggling tokens from Alameda Analysis throughout the identical interval.
The crypto lender just lately halted all buyer withdrawals as a result of FTX’s collapse. Genesis acknowledged that the incident resulted in “irregular withdrawal requests” that exceeded its liquidity.
In the meantime, reviews revealed that the lender had did not get an emergency mortgage of $1 billion from traders within the wake of the collapse.
In the meantime, the extent of FTX’s collapse on Genesis enterprise is telling when one considers the worth of buying and selling property underneath its possession.
At its peak, Genesis buying and selling property have been virtually $5 billion. As of press time, the agency’s buying and selling property are price roughly $238 million, in keeping with the Arkham Intelligence dashboard.
Genesis is processing giant quantities of redemptions
On Nov. 16, a Genesis-labelled handle processed its single-largest transactions. Arkham Intelligence tweeted on Nov. 18 that over $100 million in USDCoin (USDC) have been transferred to the Genesis over-the-counter (OTC) handle, and that handle subsequently deposited $105 million USDC to Circle.
Arkham mentioned this was possible a big buyer that withdrew from the Genesis OTC platform.
CryptoSlate Analysis’s take a look at the Genesis buying and selling dashboard on Arkham’s Intelligence platform confirmed that the massive transaction was not a one-off. As a substitute, it was one amongst many such redemptions the lender had processed just lately
In keeping with the dashboard, Genesis OTC has processed $250.9 million USDC redemption inside the final seven days. Throughout the identical interval, the OTC additionally processed $18.3 million USDT redemption and $20 million DAI redemption.
Cumulatively, the OTC processed roughly $290 million in stablecoin redemptions over seven days.
In the meantime, Circle can also be seeing large USDC redemptions for fiat because it has been burning tens of millions of USDC.
Arkham Intelligence mentioned USDC is burned when USD is redeemed as fiat. The dashboard reveals that the stablecoin issuer has burned $100 million twice within the final 24 hours.
