Quote of the week: “I think basically we’ve been set back a few years now. Regulators rightfully will scrutinize this industry much, much harder, which is probably a good thing, to be honest.” – Changpeng “CZ” Zhao, Binance CEO
FTX Files for Bankruptcy: FTX, FTX United States, and Alameda filed for Chapter 11 bankruptcy in the United States. FTX’s Bahamas unit, FTX Digital Markets, filed for bankruptcy under Chapter 15, which allows a foreign debtor to shield assets in the country. Typically, companies outside of the United States file Chapter 15 bankruptcy to block creditors who wish to file lawsuits or tie up assets in the United States. Sources: FXempire.com and Cointelegraph
Genesis’ Crypto-Lending Arm Halts Withdrawals: In the wake of the FTX collapse, the lending unit of Genesis Global Trading temporarily suspended redemptions and new loan originations. The company stated that Genesis Trading is independently capitalized and its custody services remain completely operational. Source: Coindesk
FTX Owes Miami: FTX owes the owners of the former “FTX arena” $16.5 million, according to the contract signed last year. The contract specified in the event of default by FTX, including an “insolvency event,” that the exchange will be liable to pay three years of fees, within 60 days. In the event that the exchange does not pay those fees, Miami-Dade County says that it has the right to charge 12% interest per annum until the payment is made. Source: Coindesk
ARK Adds $12.1M in Coinbase Shares: Despite market turbulence, Cathie Wood’s ARK investments purchased 237,675 shares of Coinbase stock, worth $12.1M, after Coinbase revealed that it had “minimal exposure” to FTX. Source: Cointelegraph
Nike Dives Deeper Into the NFT and Metaverse Space: This week, Nike has unveiled the launch of its NFT marketplace called “.Swoosh.” The NFT marketplace is still in its beta phase. Nike announced that its “first digital collection” will launch on the Web3 platform in 2023. Source: Cointelegraph
And, that’s a wrap!