‘Happy to pay what I actually owe’: says Bitcoin Cash investor Roger Ver about $20 million Genesis lawsuit

By Anushree Dave

In a Reddit post on Tuesday, Roger Ver, under the username “MemoryDealers” shared his thoughts regarding the Genesis lawsuit against him.

Roger Ver, founder and former CEO of Bitcoin.com, and an early bitcoin and crypto investor shared his thoughts on Tuesday regarding the $20 million lawsuit against him by Genesis unit GGC International, a bankrupt crypto lender.

Under the username “MemoryDealers” on Reddit, Ver said “I have sufficient funds on hand to pay Genesis the sums allegedly owed, and I’m happy to pay what I actually owe. However, Genesis was required by our agreement to remain solvent — as Genesis can’t ask its clients to play a “heads clients lose, tails Genesis wins” game.”

GGC International filed a lawsuit on Jan. 23 against Ver in New York Supreme Court, claiming that he failed to settle crypto options transactions which expired Dec. 30. Ver was given 20 days to respond, after which he’d have to pay it back by default.

“Last June, I asked Genesis for assurances of their solvency. In return, Genesis provided me with financial information that has been called into question by recent events,” said Ver in his Reddit post, which he later re-posted to Twitter. “When I asked Genesis to clarify the financial information they had provided me, they refused, and instead chose to file suit. I look forward to an explanation from Genesis as to how exactly they valued some of the questionable line items, including what appear to be discrepancies between the valuation of customer collateral and their own digital assets.”

Cryptocurrency lender Genesis Global Holdco LLC filed for bankruptcy last week, the latest firm to collapse in the aftermath of the FTX exchange’s swift downfall and last year’s rout in digital assets. Genesis did not immediately respond to a request for comment from MarketWatch.

See also: Crypto lender Genesis claims $5.1 billion liabilities as of November, blames ‘bank run’

Separately, last summer, crypto exchange CoinFlex’s chief executive Mark Lamb said it had issued a notice of default to Roger Ver alleging that Ver failed to meet a margin call and owes the exchange $47 million USDC. Ver had disputed the accusation.

-Anushree Dave


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01-25-23 1627ET

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