Genesis he owes at least $1.8 billion to his creditors, according to multiple media reports.
Cryptocurrency trading and lending company in trouble must users of the Gemini's Earn program $900 million and another $900 million to a group of assorted debtors represented by the Proskauer Rose Law Firm.
Another ad hoc group of Genesis creditors is being represented by the law firm Kirkland & Ellis in addition to Proskauer.
See also: Genesis could go bankrupt without funding
A group of Gemini clients are represented by the law firm of Latham & Watkins. After suffering significant losses from FTX and previously from Three Arrows Capital, Genesis ceased customer withdrawals last month.
The company has been trying to raise capital and has hired investment bank Moelis & Company to help it evaluate alternatives, which may include filing for bankruptcy.
Apparently state securities regulators in the US are looking into Genesis.
According to Barrons, Alabama is one of the states investigating whether Genesis "enticed residents to invest in cryptocurrency-related securities without making proper records."
Also read: BlackRock CEO Says FTX Token Caused Its Crash, But Technology Is Still Cutting Edge
