Genesis Receives Approval To Liquidate $1.3 Billion Worth Of Grayscale GBTC Shares

Here are some of the major developments in the world of crypto over the past few days.
 some of the major developments in the world of crypto
some of the major developments in the world of crypto

Genesis Global Holdco has been given the green light by a bankruptcy judge to liquidate approximately $1.3 billion worth of Grayscale Bitcoin Trust (GBTC) shares, as part of its efforts to reimburse investors. The decision, made during a Feb. 14 hearing for the United States District Court for the Southern District of New York conducted via Zoom, follows Genesis's bankruptcy filings indicating it held around $1.6 billion worth of shares of GBTC, Grayscale Ethereum Trust (ETHE), and Grayscale Ethereum Classic Trust (ETCG). The court order allows Genesis to sell off a portion of its investments from Grayscale.

Genesis's bankruptcy filings revealed it held approximately 35 million GBTC shares and 11 million ETHE and ETCG shares. Grayscale had filed a limited objection to Genesis's plan to liquidate the trust assets on Feb. 9, stating that the sales were "subject to written approval" by the investment firm but did not intend to obstruct the process. The U.S. Securities and Exchange Commission (SEC) recently approved the conversion of Grayscale’s GBTC to a spot Bitcoin exchange-traded fund for listing and trading on U.S. exchanges, along with offerings from 10 other asset managers, which Genesis believes will aid in the redemption of shares in cash.

Solana MemeCoin BONK Surges 7% Following Proposed Partnership with Revolut's 'Learn' Campaign

Solana-based memecoin Bonk (BONK) surged by 7% following the announcement of a potential partnership with Revolut for a "Learn and Earn Campaign." The campaign aims to attract half a million new users to Bonk but is still pending approval. If approved, Revolut, with its 38 million users across 50 countries, could significantly boost Bonk's user base by capturing just 1.3% of its user base.

The proposed campaign would incentivize Revolut users to participate, offering $1.2 million in rewards. This news drove BONK's price to $0.000025, marking a 7.2% increase over five hours and a 13.1% increase over 24 hours, according to CoinGecko. Despite a 60% drop from its all-time high, Bonk remains popular among memecoins by trading volume, particularly after its remarkable 14,000% price surge in late 2023.

As of now, seven out of 12 Bonk voting members have approved the campaign, with one more vote needed for an approval quorum. If approved, the campaign will roll out in two phases, starting with BONK's launch on Revolut to foster organic growth for one to two months, followed by the official launch of the Learn and Earn campaign. Additionally, there are rumors circulating about BONK's potential listing on Robinhood, although there has been no official confirmation from either party.

Novel ERC-X token crashes 87% after uncovering double spending glitch

Miner, a token based on the experimental ERC-X standard, suffered a devastating crash of over 99% after a smart contract bug was discovered. The glitch allowed users to double their token balance simply by transferring Miner tokens to themselves. This flaw led to a $10 million sell-off and caused each Miner token's value to plummet by 87% to $11.41 at the time of reporting.

Developers quickly addressed the issue, stating that the smart contract would be audited and fixed before redeployment. They also noted that the liquidity saved from the glitch, approximately 130 ETH, would be used for liquidity provider purposes during redeployment. However, the incident highlights the risks associated with using novel token standards like ERC-X, which combine features from existing standards without thorough reference or approval from the Ethereum Foundation.

The Miner team has requested the individual who discovered the glitch to return 30% of the bugged funds, amounting to $120,000. This event underscores the experimental nature of new Ethereum token standards and the potential pitfalls of using them without proper vetting. While innovation is encouraged in the blockchain space, incidents like this serve as a reminder of the importance of thorough testing and auditing before deploying new token standards.

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