Genesis Block HK Has Over $50 Million In Assets On FTX

OTC crypto exchange Genesis Block HK has over $50 million stuck on FTX. According to the source and an email obtained by The Block, the exposure was severe enough for the company to shut down its OTC business.

According to The Block source cited by a person familiar with the matter, Genesis Block HK, a Hong Kong-based decentralized cryptocurrency exchange (OTC) company, has funds trapped in cryptocurrency exchange FTX is now bankrupt. The exposure is worth more than $50 million. The impact was large enough for Genesis Block to shut down its OTC business on December 10.

“With regret, we will be closing down the genesisblockotc.com portal website on 10 December (Fri) 2022 at 6:00 pm HKT,(…). Withdrawals of user balances are fully functional via the OTC chat group. Please do NOT deposit any crypto assets into the portal.”

According to the source and an email from Genesis Block sent to its customers and obtained by The Block.

On November 18, according to Reuters, the Hong Kong cryptocurrency retail service provider, will close its OTC trading portal on December 10. Genesis Block used to operate one of the largest Bitcoin ATM networks in Asia.

A company executive who was previously a director of FTX Hong Kong resigned this month, according to a person familiar with the matter. Genesis Block executives declined to comment.

As previously reported by Coincu News, Genesis Trading has been recorded as one of the most affected victims of the FTX crash so far. It has over $175 million locked on FTX.

Genesis Global Capital announced the suspension on Wednesday, citing “abnormal withdrawal requests” following the public collapse of FTX last week. The chain reaction immediately hit its partners Gemeni and Gopax of Korea.

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