FTX creditors filed an objection to Genesis’ $0 bid.
Creditors of the bankrupt cryptocurrency exchange FTX claimed that the request was “opened in advance without notice and they were not invited to mediate.”
FTX Creditors Claim They Are Not Involved In The Mediation Process
After bankrupt crypto exchange FTX requested $4 billion from bankrupt crypto lender Genesis last month, it has now filed an appeal that those claims are not valid.
FTX creditors are contesting Genesis’ estimate that the “$0.00” claims set in its estimation procedure are valid, according to a June 2 court filing in the US Bankruptcy Court for the Southern District of New York. This prediction from Genesis was available on June 1.
FTX creditors claim that they were not involved in the mediation process and were not given any prior information prior to filing.
In addition, FTX creditors deny Genesis’ claim that they were informed during the court process.
The following statements were included in the appeal letter:
“FTX creditors were not invited to mediate although Genesis stated that it was working quickly with interested parties to formulate a plan structure in the forecasting procedure.
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