Here's what we are reading this morning:
Court Rules in Favor of SEC in LBRY Enforcement Action | Insights | Skadden, Arps, Slate, Meagher & Flom LLP: In SEC V LBRY, Inc. the court found that LBRY offered its digital token as a security in violation of the Securities Act. The ruling shows various interpretations of the Supreme Court’s Howey analysis that courts may be willing to adopt.
Bitcoin Miners Under Selling Pressure Amid Ongoing Downturns Post FTX Bankruptcy - Bitcoin (BTC/USD) - Benzinga: A further downturn may be coming to Bitcoin with miners increasing their selling pressure amid ongoing downturns caused by the ongoing fallout caused by FTX's bankruptcy.
FTX Management, Bahamas Gear Up for Fight Over Control of Bankruptcy - WSJ: The Bahamas’s securities regulator is seeking to control liquidation proceedings for FTX’s subsidiary in the country following the cryptocurrency exchange’s bankruptcy filing in the U.S.; said the crypto exchange’s new CEO lacked authority to initiate the U.S. chapter 11 proceeding
Interview: Fallen crypto CEO Sam Bankman-Fried opens up about FTX, Alameda Research, and his regrets - Vox: The fallen crypto CEO on what went wrong, why he did what he did, and what lies he told along the way.
The bulldog lawyer who helped recoup billions from MF Global's bankruptcy says investors burned by FTX may not be so lucky: James Koutoulas, who rose to prominence in the battle over MF Global, says he's getting requests to do forensic accounting on FTX.
The Block: Genesis Global Capital suspends redemptions, with impact spreading to Gemini: Genesis Global Capital, the lending business of Genesis Trading, temporarily suspended redemptions and new loan originations in the wake of the collapse of the FTX crypto exchange.
Urban Commons Files for Chapter 11 Bankruptcy on FiDi Hotel: The Los Angeles hospitality firm blames the Wagner hotel’s insolvency on landlord Battery Park City Authority.
UST Fees in Chapter 11 Cases Refunded by Second Circuit: The Second Circuit’s decision provides guidance to current and former debtors, plan administrators, and liquidating trustees to potentially seek refunds of unconstitutional overpayments made to the UST system.
Crypto Lender Genesis Suspends Withdrawals After FTX Collapse - WSJ: The swift demise of FTX created unprecedented turmoil for Genesis, causing the company’s lending arm to be unable to meet all withdrawal requests, the company told clients. Genesis also said via Twitter that it has hired advisers in the industry to explore all possible options.
Multicoin Lost More Than Half Its Crypto Fund’s Capital This Month: Sources: There appears to be no end in sight for cryptoasset managers slammed by the bankrupt FTX
Genesis on the Brink of Collapse | Empire | Podcast on Spotify: Genesis, crypto's largest lender, just froze withdrawals and new loan orginations. Would a Genesis collapse have wider impacts than FTX's demise?
What should customers expect from the FTX bankruptcy? Lessons learned from MF Global and similar cases | Insights | DLA Piper: Given the lack of transparency from the FTX Debtors, it is challenging to evaluate next steps for the FTX Debtors and the impact of the bankruptcy case on its customers and other unsecured creditors.
FTX exposure hits market makers and funds | TechCrunch: Information reviewed by TechCrunch indicates that market makers and funds that lost money on FTX are more numerous than previously anticipated.
The Wagner Hotel Operators File for Bankruptcy to Avoid Forced Sale – Commercial Observer: The Wagner ran into more trouble when its operator, Highgate Hotels, decided to leave in August 2020, and the hotel closed.
Gemini, BlockFi, Genesis announcing new restrictions as FTX contagion spreads: The decision reflects a sign of contagion outside of cryptocurrency lender BlockFi, which is reportedly preparing for a potential bankruptcy filing, according to The Wall Street Journal.