Genesis, a subsidiary of Digital Currency Group (DCG), has announced that it will discontinue facilitating spot and futures trading for crypto assets through its British Virgin Islands branch.

Genesis will "voluntarily and for business reasons" wind down its digital asset trading services across all of its organizations, according to a Sept. 14 statement from a Genesis spokeswoman. Genesis had been providing trading services through its overseas affiliate, Genesis Global Capital (GGC), based in the British Virgin Islands.

Genesis Global Trading, which is also affiliated with DCG but is not subject to the same bankruptcy proceedings as Genesis Global Capital, announced in January that it would discontinue its crypto spot trading services "voluntarily and for business reasons." At the time, GGC's international branch was still offering spot and futures trading.

Withdrawals were banned by GGC in November 2022, claiming "unprecedented market turmoil" at the time. According to January reports, the firm may have laid off up to 30% of its employees before filing for Chapter 11 bankruptcy protection in New York.

The Securities and Exchange Commission charged Gemini and Genesis with marketing unregistered securities through Gemini's Earn program.

In the previous year, the bankruptcy, legal, and regulatory entanglements between various DCG subsidiaries and crypto businesses — DCG is also the parent company of Grayscale Investments — have made headlines. Genesis blamed its demise on Three Arrows Capital and alleged losses as a result of the failure of crypto exchange FTX.

Sources:

https://cointelegraph.com/news/genesis-winding-down-crypto-trading-services