Close Menu
StreamLineCrypto.comStreamLineCrypto.com
  • Home
  • Crypto News
  • Bitcoin
  • Altcoins
  • NFT
  • Defi
  • Blockchain
  • Metaverse
  • Regulations
  • Trading
What's Hot

Solana ETF vs. Ether: Can SOL Outperform ETH?

October 7, 2025

Grayscale’s Ethereum ETFs And Solana Fund Introduce Staking Features Today – Key Details

October 7, 2025

Ethereum Fusaka Upgrade Set To Redefine ETH Performance — Here’s What to Expect

October 7, 2025
Facebook X (Twitter) Instagram
Tuesday, October 7 2025
  • Contact Us
  • Privacy Policy
  • Cookie Privacy Policy
  • Terms of Use
  • DMCA
Facebook X (Twitter) Instagram
StreamLineCrypto.comStreamLineCrypto.com
  • Home
  • Crypto News
  • Bitcoin
  • Altcoins
  • NFT
  • Defi
  • Blockchain
  • Metaverse
  • Regulations
  • Trading
StreamLineCrypto.comStreamLineCrypto.com

FTX Trust Files $1.15 Billion Lawsuit Against Bitcoin Miner Genesis Digital

September 23, 2025Updated:September 23, 2025No Comments3 Mins Read
Facebook Twitter Pinterest LinkedIn Tumblr Email
FTX Trust Files .15 Billion Lawsuit Against Bitcoin Miner Genesis Digital
Share
Facebook Twitter LinkedIn Pinterest Email
ad


The FTX Chapter Belief has filed a $1.15 billion lawsuit in opposition to Bitcoin mining agency Genesis Digital Property, marking one of many largest clawback actions but within the ongoing efforts to get well property misplaced within the collapse of the FTX change.

The criticism alleges that Genesis Digital and its co-founders acquired greater than $1 billion in fraudulent transfers from Sam Bankman-Fried’s Alameda Analysis between 2021 and 2022. 

‘Nice detriment’ to FTX prospects 

The investments, the belief argues, have been made at “outrageously inflated costs” and supplied little to no worth to FTX’s enterprise, which was already bancrupt on the time.

“Between  August  2021  and  April  2022,  Bankman-Fried brought on  Alameda  to Buy a number of tranches of shares in GDA, a Bitcoin mining agency,  at outrageously inflated costs,” the submitting learn. “Whereas FTX Group funds have been used to buy the shares, solely Alameda—and, in flip, Bankman-Fried, Alameda’s 90% proprietor—was to obtain any profit, to the good detriment of shoppers and different collectors of FTX.com”

Below U.S. chapter regulation, the belief is empowered to pursue “avoidance actions” — lawsuits designed to claw again funds that have been improperly transferred earlier than an organization filed for chapter. 

The scale of this go well with underscores the dimensions of FTX’s asset restoration marketing campaign, which has change into one of many largest and most complicated in U.S. chapter historical past following the change’s 2022 collapse.

In response to the submitting, a lot of the funds got here from buyer deposits on FTX.com that have been funneled into Alameda Analysis after which redirected into Genesis Digital. 

The belief claims the mining firm’s co-founders, Rashit Makhat and Marco Krohn, personally benefited, promoting greater than $550 million price of their very own shares to Alameda within the course of.

The lawsuit describes Genesis Digital as a politically related miner in Kazakhstan that took benefit of low cost power and favorable therapy beneath the nation’s former president, Nursultan Nazarbayev. However by late 2021, Kazakhstan’s energy grid was beneath pressure from an inflow of miners, and new taxes, blackouts, and social unrest destabilized the trade. 

The criticism alleges that regardless of these clear dangers — in addition to unaudited financials, cash laundering issues, and a scarcity of curiosity from different traders — Bankman-Fried pressed forward with outsized investments, based on Bloomberg reporting. 

“Genesis Digital stands as certainly one of Bankman-Fried’s most reckless investments with commingled and misappropriated funds,” the belief stated in its submitting.

The case comes as Bankman-Fried serves a 25-year jail sentence after being convicted on seven prison counts, together with fraud and conspiracy, tied to FTX’s downfall. 



Source link

ad
billion Bitcoin digital files FTX Genesis lawsuit miner trust
Share. Facebook Twitter Pinterest LinkedIn Tumblr Email
Related Posts

Solana ETF vs. Ether: Can SOL Outperform ETH?

October 7, 2025

Grayscale’s Ethereum ETFs And Solana Fund Introduce Staking Features Today – Key Details

October 7, 2025

Ethereum Fusaka Upgrade Set To Redefine ETH Performance — Here’s What to Expect

October 7, 2025

Fasset Wins Malaysia License to Launch First Stablecoin-Based Islamic Digital Bank

October 7, 2025
Add A Comment
Leave A Reply Cancel Reply

ad
What's New Here!
Solana ETF vs. Ether: Can SOL Outperform ETH?
October 7, 2025
Grayscale’s Ethereum ETFs And Solana Fund Introduce Staking Features Today – Key Details
October 7, 2025
Ethereum Fusaka Upgrade Set To Redefine ETH Performance — Here’s What to Expect
October 7, 2025
Fasset Wins Malaysia License to Launch First Stablecoin-Based Islamic Digital Bank
October 7, 2025
After $79B in Bitcoin, Saylor Says it’s Time to Pause — For Now
October 7, 2025
Facebook X (Twitter) Instagram Pinterest
  • Contact Us
  • Privacy Policy
  • Cookie Privacy Policy
  • Terms of Use
  • DMCA
© 2025 StreamlineCrypto.com - All Rights Reserved!

Type above and press Enter to search. Press Esc to cancel.