{"id":13868,"date":"2024-05-28T14:12:24","date_gmt":"2024-05-28T11:12:24","guid":{"rendered":"https:\/\/forklog.com\/en\/binance-sells-gopax-claims-against-genesis-at-a-steep-discount\/"},"modified":"2024-05-28T14:12:24","modified_gmt":"2024-05-28T11:12:24","slug":"binance-sells-gopax-claims-against-genesis-at-a-steep-discount","status":"publish","type":"post","link":"https:\/\/forklog.com\/en\/binance-sells-gopax-claims-against-genesis-at-a-steep-discount\/","title":{"rendered":"Binance Sells Gopax Claims Against Genesis at a Steep Discount"},"content":{"rendered":"

In 2023, Binance sold Gopax clients’ claims against Genesis Global for less than half their nominal value, according to Hankyung<\/a>, citing its own sources.<\/p>\n

In February 2023, Binance acquired a controlling stake in the troubled South Korean exchange Gopax. A condition of the purchase was to cover the losses of GoFi product users, who suffered due to the bankruptcy of Genesis Global.<\/p>\n

The parent company of Genesis Global, Digital Currency Group, was the second-largest shareholder of the exchange.\u00a0\u00a0\u00a0\u00a0<\/p>\n

Binance used funds from the “Industry Recovery Initiative,” to which the world’s largest exchange pledged $1 billion, for the acquisition of Gopax. Compensation for GoFi users was also expected to come from this source.<\/p>\n

However, Hankyung’s sources claim that only the first round of claims settlement was conducted this way. For the second round, Binance used proceeds from selling claims against Genesis at a discount of over 50%.<\/p>\n

GoFi clients lost a total of 70 billion won, or $57 million at the time, due to the bankruptcy of the lending platform. Their claims have been compensated by approximately 50%.<\/p>\n

Since then, digital assets have significantly increased in value, and the amount of remaining claims against Gopax now stands at approximately 100 billion won.\u00a0<\/p>\n

In May, it was revealed that Genesis, by court order, will distribute $3 billion in fiat and cryptocurrencies among creditors. This will cover about 77% of the firm’s total obligations. Gopax did not comment on this, as they no longer held claims against the platform, which were sold without clients’ knowledge.<\/p>\n

Binance remains committed to compensating users. However, journalists noted that the purchase agreement lacks a timeline for settling the platform’s obligations.<\/p>\n

Earlier, the New York Attorney General’s office (OAG) tripled the alleged fraud amount to over $3 billion<\/a> in the case against Genesis, Gemini, and Digital Currency Group.<\/p>\n","protected":false},"excerpt":{"rendered":"

In 2023, Binance sold Gopax clients’ claims against Genesis Global for less than half their nominal value, according to Hankyung, citing its own sources. In February 2023, Binance acquired a controlling stake in the troubled South Korean exchange Gopax. A condition of the purchase was to cover the losses of GoFi product users, who suffered […]<\/p>\n","protected":false},"author":1,"featured_media":13867,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"select":"","news_style_id":"","cryptorium_level":"","_short_excerpt_text":"","creation_source":"","_metatest_mainpost_news_update":false,"footnotes":""},"categories":[3],"tags":[1300,744,1380,1237],"class_list":["post-13868","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-and-analysis","tag-bankruptcy","tag-binance","tag-genesis-global-capital","tag-genesis-global-trading"],"aioseo_notices":[],"amp_enabled":true,"views":"31","promo_type":"","layout_type":"","short_excerpt":"","is_update":"","_links":{"self":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/13868","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/comments?post=13868"}],"version-history":[{"count":0,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/13868\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/media\/13867"}],"wp:attachment":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/media?parent=13868"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/categories?post=13868"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/tags?post=13868"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}