We have gathered the week’s most important crypto-industry news.
- Gemini Earn users have a chance to recover funds from Genesis Global Capital.
- Deloitte and Bitwave will develop enterprise-oriented solutions for crypto accounting and compliance.
- Britain’s upcoming October rollout of new crypto-promotion rules has prompted platform leadership to rethink plans for the future.
- BitMEX launched a platform for real-world event predictions.
- Celsius and Core Scientific settled a $45 million dispute.
Gemini Earn users could recover funds from Genesis Global Capital
DCG proposed a new restructuring option for its subsidiary Genesis Global Capital. The document offers unsecured creditors a base recovery of 70–90% of their claims.
The revised terms of a $630m loan between Genesis and DCG.
According to the firm, Gemini Earn users with collateral of around $607m could potentially receive up to 110% of their total claims.
Preliminary agreement between the companies implied that DCG would pay two loans of $328.8m with a two-year term and $830m with a seven-year term — from 70% to 90% of the investors’ funds in dollar terms. Part of the payments was to be in the form of a stake in DCG. Creditors called it “unsatisfactory”.
Deloitte and Bitwave to develop enterprise-grade crypto accounting and compliance solutions
Bitwave, a provider of corporate solutions for crypto asset management, accounting and taxation, and Deloitte will simplify crypto asset accounting for companies.
The integration of software and capabilities will enable speed, efficiency, cost savings and regulatory compliance, according to the press release.
In addition to the Deloitte partnership, Bitwave announced the acquisition of the crypto-payments and accounting platform Gilded. Financial terms were not disclosed.
The deal will enhance the firm’s offerings in light of new crypto-promotion rules in the United States. More specifically — features for crypto payments and invoicing, as well as tools for taxes and accounting tracking.
New UK crypto-promotion rules spook Bybit
The new crypto-promotion rules set to take effect in the UK on 8 October have prompted management to rethink future plans.
Bybit CEO Ben Zhou suggested it may cease services for UK users, citing tighter regulation.
“Most likely we will have to retreat in many countries. I think the UK is one we will have to leave very soon. We recently exited France,” said the head of the platform.
Despite the de facto ban on crypto derivatives in the country since 2021, some exchanges have offered similar services while registered in other jurisdictions. The practice will be curbed.
The company later said it intends to maintain a presence in the UK market in the long term.
At Bybit, we consider the UK to be a highly important market for the advancement of crypto and blockchain technologies. Our commitment to this market is unwavering, and we intend to maintain our presence in the UK for the long term. Meanwhile, we are dedicated to working…
— Bybit (@Bybit_Official) September 14, 2023
Similarly, the crypto exchange Luno plans to suspend some products for UK users. Two days before the above-mentioned rules take effect, they will lose the ability to buy and trade digital assets, according to a media document.
BitMEX launches real-world event prediction platform
The cryptocurrency exchange BitMEX launched a platform for predictions that lets users bet on the outcomes of real-world events.
Initially, traders have access to three USDT-denominated prediction-market contracts:
- on approval of the ETF;
- on compensation to FTX users;
- the imposition of a prison sentence on the platform’s founder, Sam Bankman-Fried.
Celsius and Core Scientific settle $45 million mining dispute
The crypto-lending platform Celsius and the mining company Core Scientific settled a dispute over a $45 million mining agreement.
In 2021, Celsius invested more than $200m in the US-based blockchain hosting provider Core Scientific, Texas-based Rhodium Enterprises and software developer Luxor Technologies. Later, the company allocated another $300m for these purposes.
In January this year, amid Celsius’s restructuring process , Core Scientific shut down equipment owned by the platform. Celsius demanded damages of {{AOPEN_?}}$312 million{{ACLOSE_?}}.
The settlement provides that Celsius will pay Core Scientific $14 million in cash. The remaining $31 million will be paid as adjusted assets. The agreement awaits court approval.