Some two months after halting customer withdrawals, Genesis has become the next crypto market player to head for bankruptcy.

The firm held private discussions with different creditor groups, Bloomberg reported on Thursday. The lending unit has been reeling from the collapse of FTX, where it had $175 million in locked funds, and had warned potential investors about bankruptcy if it couldn’t raise fresh capital.

Genesis was “trying at all costs to avoid [bankruptcy],” a source previously told Blockworks, an effort they described as “admirable, but costly.”

(By SHALINI NAGARAJAN)