TechFlow News — U.S.-based financial advisory firm Bernstein Research has released a report stating that the suspension of withdrawals by Genesis Global Capital does not directly impact the Grayscale Bitcoin Trust (GBTC). Even if Genesis fails to raise liquidity for its lending book and files for bankruptcy, creditors would have no claim on GBTC's assets.
Analysts Gautam Chhugani and Manas Agrawal said, "The trust structure of GBTC protects its holders and insulates it from failures within DCG or other entities under the DCG Group."
There are market concerns that Grayscale might "be considered as a strategic option in the event of a crisis," but analysts believe that even under the worst-case scenario, DCG would prefer to preserve Grayscale over Genesis. According to the report, Grayscale is DCG’s "flagship business and cash cow," generating approximately $300 million in fee revenue annually.Source
