Genesis, a bankrupt crypto lending company, sold around 36 million shares of Grayscale Bitcoin Trust (GBTC) to purchase more Bitcoin as part of its strategy to pay back its creditors. According to a recent report from Bloomberg, the shares were liquidated on April 2nd at a value of roughly $58.50 per share. Despite initially requesting permission from a U.S. bankruptcy court on February 2nd to sell the shares when they were priced at $38.50, the share price has since risen by roughly 50%.

The total of $2.1 billion generated from the sale allowed Genesis to acquire about 32,041 Bitcoin on April 2nd at a price of $65,685 per Bitcoin, which will be used to settle its debts. As of now, these Bitcoins are valued at $2.18 billion.

To reassure the community, cryptocurrency exchange Coinbase emphasized that the sell-off by Genesis is not anticipated to have a significant impact on the broader crypto market. Coinbase mentioned that most of the funds are likely to remain within the crypto ecosystem, leading to a neutral market effect.

Meanwhile, Digital Currency Group, the parent company of Genesis, contended that Genesis's proposed repayment plan would result in customers receiving more than they are owed. About a year ago, in January 2023, Genesis filed for Chapter 11 bankruptcy in the Southern District of New York.