, three former employees of the company had secured millions of dollars for a new crypto hedge fund, according to correspondence viewed by CNBC.
Ballensweig was named in legal filings surrounding the implosion of Genesis' lending book. Gemini, a crypto exchange and major Genesis client, accused Ballensweig of falsely reassuring Gemini in July that Genesis was financially stable. Gemini claimed that Ballensweig told its representatives that Genesis had "capital to operate... for the long term," according to court filings.
Ballensweig spent his final nine months at Genesis as managing director and co-head of trading and lending.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:
Is this as bad as past posting cattle futures trades? tt:lizpeek