The cloud of Genesis Global just got burst and the associated companies are also getting affected by it, Bybit is one of them. In this bulletin, we will see how Bybit is related to Genesis and what are the effects of Genesis's Bankruptcy over it. And in the mid-crisis conditions, the Bitcoin mining company CleanSpark is expanding its operations in Georgia, more on that in the detailed explanation below.
1. How Badly Bybit is Affected by Genesis Global Bankruptcy?
Bankruptcy is hitting the crypto space and it is like a domino effect. First Terra Luna got burst then that bankrupted Celsius Network and other projects, then FTX which resulted in the bankruptcy of BlockFi, Genesis Global, and more. Continuing to this domino effect, it’s time to look into associated companies.
In the last Crypto-Bulletin, we saw the list of affected creditors in the Genesis bankruptcy. Mirana is one of the largest creditors and not surprisingly the cryptocurrency exchange Bybit is also affected as Mirana is the investment arm of Bybit. When the list of creditors came out, it is made clear that Bybit has an exposure of around $150 million in the Genesis bankruptcy.
But without waiting for any FUDs to get air, the CEO of Bybit spoke about the reports, accepted the exposure, and also clarified that the client funds are not involved in the exposure, so the users of Bybit are supposedly safe. He also clarified some other things as well, you can check his tweet below-
I really hope the claims of Bybit CEO are true, and there won’t be any issues for normal users. But it is really important to consider moving your funds to the decentralized networks cause we never know what happens in the morning!
2. Bitcoin Miner CleanSpark is Expanding in Georgia with a 50-megawatt Plant!
As we all know the cryptocurrency market is in the bear phase and almost every company in the space is either bankrupt or trying hard not to get bankrupt! Recently, we heard that the Bitcoin mining giant Core Scientific has filed for bankruptcy, which shows how hard times are for the crypto-mining industry. But despite of the bear market, some companies with strong basics or say tightly managed accounting books are now expanding. Companies with good cash flow and not exposed to high risks can take advantage of the bear market, as everyone is trying to survive and sell, they can purchase with real discounts.
Currently, the Bitcoin mining company called CleanSpark is taking advantage of this bear market. They are expanding their operations in Georgia state, the CEO Zach Bradford stated-
"This second phase more than doubles the size of existing operations."
In the recent announcement from the company's Twitter handle, it is made clear that the new mining site will be a 50-megawatt facility, adding 16,000 mining hardware which will increase the hash-rate of the company by 2.2 exahashes per second. With the completion of this mining site, CleanSpark will have a total 8.7 EH/s hash-rate. The company disclosed that the new site will take $16 million and will be ready by late spring.
It is interesting to see that some companies like CleanSpark are expanding while others are struggling to survive. It is probably the lesson for upcoming crypto projects in the future bear markets. It will be really interesting to see the rise of some mega-players in the crypto space!
Posted Using LeoFinance Beta
