Schlagwort: crypto business

• Michael Sonnenshein has stepped down as CEO of Grayscale.
• Grayscale announced that Peter Mintzberg is the new CEO, effective August 15, 2024.
• Sonnenshein joined Grayscale in 2014 and was CEO from 2021, overseeing Grayscale’s successful lawsuit against SEC.

Michael Sonnenshein has stepped down as the CEO of Grayscale Investments, the crypto asset manager offering the spot Bitcoin ETF $GBTC.

Grayscale announced Sonnenshein’s exit on Monday, revealing his replacement to be Peter Mintzberg.

Per a press release published on Monday, Mintzberg joins Grayscale from Goldman Sachs, where he was the Global Head of Strategy for Asset and Wealth Management.

The new Grayscale CEO also held prominent positions at BlackRock, OppenheimerFunds and Invesco.

“As we position Grayscale for its next phase of growth, excited to welcome Peter Mintzberg as Grayscale’s CEO, effective August 15. Joining from Goldman Sachs, Peter has 20+ years of experience across prominent asset managers, including BlackRock, OppenheimerFunds & Invesco,” Barry Silbert, founder and CEO of Grayscale parent company Digital Currency Group (DCG), said.

Sonnenshein helped Grayscale grow

Silbert thanked Sonnenshein, who joined Grayscale in 2014 and had been CEO since 2021, for his leadership and contribution towards Grayscale’s growth as a crypto company.

That includes the historic lawsuit and court victory against the US Securities and Exchange Commission (SEC).

“Michael guided Grayscale from $60 million to ~$30 billion of assets under management and through its historic court victory against the Securities and Exchange Commission, which enabled Grayscale to uplist the first spot Bitcoin ETF to NYSE Arca alongside the largest players in traditional finance,” Silbert said in a statement.

While Grayscale and DCG haven’t provided the exact reasons for the former CEO’s exit, observes say it could be tied to $GBTC and its performance since SEC’s approval in January this year.

In three months of trading, Grayscale has seen over $17 billion in $GBTC outflows.

Eric Balchunas, a senior ETF analyst at Bloomberg, commented that Grayscale’s outflows are massive and one likely to have led to this scenario.

However, Balchunas still sees Sonnenshein’s exit as a “big shakeup” that comes as Grayscale was “just beginning to see inflows again.”

BlackRock’s $IBIT surpasses Grayscale’s $GBTC in assets

As the news of Sonnenshein’s exit hits the market, the spot Bitcoin ETF market is seeing a shake up too.

This is because BlackRock’s $IBIT has surpassed $GBTC as largest spot Bitcoin ETF in assets under management.

Notably, $IBIT currently holds $17.94 billion worth of BTC, compared to $GBTC’s $17.81 billion, according to data shared by Coinbase Traders. 

 

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• BingX is launching USDC-margined trading, a Launchpad and Launchpool as it celebrates its sixth anniversary.
• The platform plans to expand to Turkey, Vietnam and Argentina
• The exchange will also collaborate on a Netflix documentary aimed at animal protection and conservation. 

Crypto exchange BingX is set to expand its crypto services and products to Turkey, Vietnam and Argentina, according to a press release published on Monday.

The exchange’s global expansion will include localized products and campaigns, as well as key partnerships.

BingX to launch USDC-margined futures trading

BingX will also launch USDC-margin futures trading on its platform.

There are also plans to expand the range of crypto assets for trading margin, while users will benefit from key updates on coin-margined futures trading, the exchange noted in the announcement.

Also notable is BingX’s unveiling of a Launchpad and Launchpool, all part of a global expansion strategy dubbed “ExpansionX.”  

These will enable BingX customers to participate in token sales and access high-quality projects. The platform also plans to enhance its structured product offerings and offer wealth management services.

According to BingX, these initiatives align with its the theme of its sixth anniversary celebration. The “Amazing Six” is a milestone the exchange is marking today, May 20 with a prize pool of 13 million USDT.

“As we reflect on the past six years and look towards the future, our commitment to excellence and innovation remains unwavering. Together with our BingX community and partners, we will continue to push the boundaries of what’s possible in the crypto industry, setting new milestones and driving positive change,” Vivien Lin, the chief product officer at BingX, said in a statement.

Also on BingX’s list of to-dos is a collaboration with Whale and Dolphin Conservation and Netflix. The goal is to bolster animal conservation efforts via a Netflix documentary. 

The program is part of the exchange’s commitment to its corporate social responsibility (CSR) objectives.

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• Genesis Global gets court approval to repay $3 billion to customers.
• Judge Sean Lane overruled an objection from Genesis parent company Digital Currency Group.
• DCG argued payments to be in US value of assets as of bankruptcy filing in January 2023.

Genesis Global has secured court approval to return $3 billion in cash and crypto to its creditors, details in a recent court filing show. The payouts will represent about 77% of customers’ claims.

However, the payout doesn’t include Digital Currency Group (DCG), the parent company of Genesis Global.

The development comes after US Bankruptcy Judge Sean Lane approved the Chapter 11 bankruptcy plan Genesis Global and its subsidiaries filed in January 2023. Genesis’ bankruptcy followed the collapse of Three Arrows Capital and FTX in 2022.

Judge overrules DCG objection

As noted above, the plan to return billions of dollars worth of crypto assets and cash to Genesis creditors has received a node from Judge Sean Lane. 

On Friday, the judge overruled DCG’s objection to the liquidation plan, paving way for this significant step in the right direction for creditors. 

In their argument, DCG had argued that Genesis should pay customers as per the value of their crypto assets at the time the company filed for bankruptcy.

In dismissing DCG’s objections, Judge Lane noted:

“The record here clearly establishes that there is not sufficient value in the Debtors’ estates to provide DCG a recovery as equity holder after unsecured creditors are paid… Given the size of the creditor claims, DCG is out of the money as an equity holder by billions of dollars, even if the Court valued creditor claims using the method DCG proposes.”

When Genesis filed for Chapter 11, customer claims by the top 50 creditors was over $3.5 billion. The court’s approval of the liquidation plan will see approximately 97% of reimbursements handled in-kind.

This means a customer who deposited BTC will receive payout in BTC and not the equivalent US dollar value.

Genesis to return crypto to customers beginning next month

At current prices, customer claims for Bitcoin or Ethereum are trading at 97-110% for claims amounting to over $10 million. Claims under $1 million are trading at 74-94%. In comparison, the claims traded at 35% at the time the crypto lender filed for bankruptcy.

For stablecoins, its 89-91% for claims of $1-10 million and 73-88% for accounts with under $1 million.

The plan allows for creditors reimbursements to begin early next month, bringing value to Gemini Earn customers and other Genesis creditors. 

Notably, the price of Bitcoin has increased significantly since January 2023, rising from around $21k to currently hover above $66k. BTC reached a new all-time high above $73k in March.

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• Jarett Dunn, aka @STACCoverflow, arrested in London for Solana memecoin exploit.
• Dunn used flash loans to manipulate pump.fun, stealing $2 million in liquidity.
• Released on bail, Dunn confessed online, citing mental health struggles and grief

The alleged orchestrator of the recent Solana memecoin protocol pump.fun exploit, Jarett Dunn, known online as @STACCoverflow, has been arrested in London.

The arrest follows a sophisticated 26-hour intelligence operation spearheaded by a third-party stakeholder who had enlisted a private intelligence firm to track Dunn’s activities.

Jarett Dunn arrested in Middle Eight Hotel

The operation culminated in the early hours of May 18 when local operatives, or “auxiliaries,” pinpointed Dunn’s location at the Middle Eight Hotel in Covent Garden.

After a seven-hour search, British authorities apprehended Dunn, who has since been released on bail pending his court appearance in August.

The Pump.fun flash loan exploit

Dunn, a former contractor, is accused of exploiting the Solana-based pump.fun protocol by utilizing flash loans from the Raydium lending platform.

Flash loans allow users to borrow large sums of capital without collateral, provided the loan is repaid within the same transaction.

Dunn allegedly manipulated the pump.fun bonding curves to access and withdraw substantial liquidity, profiting $2 million in the process.

In the aftermath of the exploit, Dunn took to social media to confess his involvement. His posts on X (formerly Twitter) revealed a mix of remorse and defiance, hinting at a desire to distribute the stolen funds to Solana (SOL) token holders.

Dunn also opened up about his mental health struggles and the recent loss of his mother, suggesting that emotional distress played a significant role in his actions.

The exploit has prompted pump.fun to work closely with law enforcement to investigate the breach. Initial theories by Igor Igamberdiev, head of research at cryptocurrency market maker Wintermute, pointed to an internal private key leak.

Dunn’s erratic tweets have since confirmed his role, though the specifics of his proposed fund distribution remain unclear.

As the investigation continues, the cryptocurrency community watches closely, awaiting further developments in this high-profile case.

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