2 years ago
One of the largest cryptocurrency ATM operators, Coin Cloud, which claims to run much than 5,000 crypto ATMs, has filed for bankruptcy successful the U.S. The company’s largest creditor is Genesis Global Trading, whose genitor institution besides precocious filed for bankruptcy successful the U.S.
Coin Cloud Files for Bankruptcy
Cash Cloud Inc., a integer plus ATM relation doing concern arsenic Coin Cloud, voluntarily filed for Chapter 11 bankruptcy connected Tuesday.
In its filing with the U.S. bankruptcy tribunal for the District of Nevada, Coin Cloud declared an estimated fig of creditors of betwixt 5,000 and 10,000. In addition, the institution estimated that its full assets scope betwixt $50 cardinal and $100 cardinal portion its full liabilities autumn betwixt $100 cardinal and $500 million.
Crypto lender Genesis Global Trading Inc. is listed arsenic Coin Cloud’s largest unsecured creditor, with a full assertion of $116,353,435. After deducting the worth of collateral, Genesis Global Trading’s unsecured assertion amounts to $108,568,655, the filing shows.
On Jan. 19, Genesis Global Holdco LLC and 2 of its lending concern subsidiaries, including Genesis Global Capital, filed for Chapter 11 bankruptcy successful the Southern District of New York. However, the filing does not see Genesis Global Trading. Genesis’ bankruptcy followed a lawsuit against the institution by the U.S. Securities and Exchange Commission (SEC) alleging that the crypto lender offered and sold unregistered securities to retail investors.
On its website, Coin Cloud claims that it operates much than 5,000 two-way crypto ATMs crossed the U.S. and Brazil. The machines let users to bargain and merchantability implicit 40 cryptocurrencies, including bitcoin, bitcoin cash, litecoin, and ether. They besides connection a fig of stablecoins, gaming tokens, and decentralized concern (defi) coins.
Crypto ATM tracking website Coin ATM Radar ranks Coin Cloud arsenic the second largest crypto ATM relation with 4,826 machines — 2nd lone to Bitcoin Depot with 6,634 machines. According to the tracking site, determination are presently 38,340 crypto ATMs successful 81 countries.
Besides Genesis Global, a fig of crypto firms filed for bankruptcy past year, including FTX, Core Scientific, Celsius Network, Voyager Digital, Three Arrows Capital, and Blockfi.
Do you deliberation much crypto ATM operators volition record for bankruptcy? Let america cognize successful the comments conception below.
Kevin Helms
A pupil of Austrian Economics, Kevin recovered Bitcoin successful 2011 and has been an evangelist ever since. His interests prevarication successful Bitcoin security, open-source systems, web effects and the intersection betwixt economics and cryptography.
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