Gemini Earn to start paying customers in-kind crypto by the end of May

Gemini, one of Genesis's creditors, announced that it will begin returning the first 97% of assets to customers of the Genesis Earn program by the end of May, which will be paid in kind. This means that customers who previously deposited one bitcoin into Gemini Earn will receive bitcoin instead of being compensated with the dollar value of bitcoin on a specific date (as of November 16, 2022). (The Block) Earlier news, cryptocurrency lender Genesis Global received court approval on Friday to return about $3 billion in cash and cryptocurrency to customers in bankruptcy liquidation. U.S. Bankruptcy Judge Sean Lane approved Genesis's Chapter 11 liquidation plan and rejected the objection raised by its parent company Digital Currency Group (DCG), which believed that the amount Genesis paid to customers and creditors should not exceed the value of its crypto assets when it filed for bankruptcy in January 2023. Since Genesis filed for bankruptcy, cryptocurrency prices have risen sharply, and DCG and Genesis disagree on which party should benefit from the price increase. Lane overruled DCG’s objections, ruling that even if customer claims were capped at a lower price, Genesis would have to pay many other creditors, including federal and state financial regulators who are allegedly seeking $32 billion, before paying its shareholder DCG. “Under these circumstances, there are insufficient assets to provide any compensation to DCG,” Lane wrote.