Why Altcoins Popped in Value Today
The value of cryptocurrency altcoins jumped on Friday despite one of the biggest names in the industry filing for bankruptcy. Crypto firm Genesis filed for Chapter 11 bankruptcy protection Thursday night, and may eventually pull its parent company Digital Currency Group (DCG) into bankruptcy.
Ironically, that pushed many altcoins sharply higher today. Aptos (CRYPTO: APT) was up as much as 26.2% in trading as of 5 p.m. ET; Hedera Hashgraph (CRYPTO: HBAR) jumped 30.7%, and Lido DAO (CRYPTO: LDO) popped 15.9%.
Genesis' bankruptcy may seem like bad news, but may be a positive for the crypto market. It will bring some certainty to the situation, especially if DCG eventually becomes insolvent. DCG runs the Grayscale funds, which have effectively locked up billions of dollars of cryptocurrency and are currently trading at a discount to their values.
Source Fool.com
