Core Scientific,one of the largest bitcoin miners by computing power, has filed for bankruptcy.The company filed for Chapter 11 at Southern District of Texas bankruptcy court. The miner’s estimated liabilities are from $1 billion to $10 billion, according to the filing. It has around 1,000-5,000 creditors, with the largest unsecured claim coming from investment bank B. Riley. The bankruptcy of Core Scientific, which accounts for about 10% of computing power on the bitcoin network, operating 143,000 mining runs and hosting another 100,000 is the biggest one yet and is set to send shockwaves in an already crumbling industry.
(Core Scientific)
A creditor committee that includes crypto exchange Gemini has presented a plan to Genesis and Digital Currency Group (DCG) to “provide a path for the recovery of assets,” Gemini co-founder Cameron Winklevoss said in a tweet. The creditor committee expects to hear from Genesis and DCG by the end of the week. DCG is also the parent company of CoinDesk.
Sam Bankman-Fried, former CEO of bankrupt crypto exchange FTX, has signed the necessary paperwork to begin the extradition process, reports the New York Post, citing Doan Cleare, the acting commissioner of corrections at Fox Hill Prison in The Bahamas. Bankman-Fried is set to appear in court on Wednesday morning to continue the extradition process. CNBC reported that Bankman-Fried will fly to the U.S. the same day, also citing Doan Cleare.
Since 2013, Grayscale has been an industry leader in offering investors secure and regulated access to crypto.
Grayscale’s suite of publicly-traded products helps investors access crypto while removing the operational burdens of buying, storing, and safeguarding cryptocurrencies directly. Many of Grayscale’s products are SEC-reporting, which means adhering to standard reporting practices and offering heightened disclosures to provide investors with more information when making investment decisions. Grayscale’s products are further supported by a network of best-in-class service providers and partners. Investors can access our products directly via a ticker symbol in certain investment and retirement accounts, allowing them to diversify their portfolios into crypto with ease.
CMI sectors represent comprehensive groupings of digital assets by sector, allowing for measurement of performance and a comparison.
What the current data shows is that, similar to in past market cycles, flights to safety within the cryptosphere is translating to movement of capital into BTC and ETH, relative to other coins.
On the other end of the spectrum, the more speculative Computing Index (CPU) and Culture & Entertainment (CNE) have lagged other sectors in both week to date and month to date performance.
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