Genesis, the crypto-trading business, has ceased all trading operations, including international spot and derivatives trading, according to a spokesperson. The company was hit hard by the collapses of Three Arrows Capital and FTX. Genesis’ U.S. desk was shut down last week, and now the international operations have also closed.
“Genesis has decided to stop offering digital asset spot and derivatives trading through GGC International, Ltd.,” the company said. “This decision was made due to current market conditions and the need to prioritize our resources.”
Genesis is not the first crypto-trading firm to be affected by the recent market downturn. In June, Celsius Network, another crypto lender, froze withdrawals and transfers on its platform. And in July, Three Arrows Capital, a crypto hedge fund, filed for bankruptcy.
The recent market downturn has been caused by a number of factors, including the collapse of TerraUSD, a stablecoin that lost its peg to the US dollar. The downturn has also been exacerbated by rising interest rates and inflation.
The closure of Genesis’ trading operations is a significant development in the crypto industry. It highlights the risks and challenges that companies face in this volatile market, and the impact that the collapse of major players can have on the ecosystem.
For investors and traders, the closure of Genesis means one less option for trading digital assets. It also serves as a reminder to carefully consider the risks and potential downsides of investing in the crypto market.