A change of emergency strategy in its plans with Bitcoin (BTC) must launch the Singapurese firm Genius Group. This, after the prohibitions imposed through an opinion emanating from the United States District Court for the Southern District of New York.
As noted in a statement published on April 3, on its official site, the Court prohibited the company from advancing with the incorporation of the digital currency into its treasury, which prevents it from selling shares or raising funds to buy BTC.
Consequently, Genius Group, who planned to follow Strategy’s footsteps with the purchase of the main cryptocurrency, announces that it will be forced to sell your holdings in Bitcoin in order to gain liquidity. All this, against his will. His acquisitions, which it is besides 440 BTCwill be reduced to 430 bitcoin.
As Cryptonoticias reported, last November the company announced its plans to follow Michel Saylor’s advice and do the same as Strategy. The creation of Satoshi Nakamoto It would become its main reserve asset.
The idea was to use their offers in the markets to Acquire $ 120 million in Bitcoinwhich would be maintained in the long term. However, the company has been involved in a litigation that has complicated its plans.
As reported, in the midst of a conflict between partners and shareholders, on February 14, 2025 officials of the Fatbrain AI Artificial Intelligence Company (LZGI), which is quoted in the US stock exchange., Requested Restrictions against Genius. The action is headed by partners Michael Moe and Peter Ritz.
In this way, through a lawsuit, they asked the United States Court to issue a temporary restriction order (tro) and a preliminary order (PI) to prevent Genius from selling actions or raising funds to acquire Bitcoin.
Both requests were granted by the Court, the statement said, indicating that this fact was ratified in a court order broadcast this March 13.
To date, the court order has remained in force. As a result, Genius has seen its financing and treasury activities of Bitcoin by court during the last six weeks, in direct contravention of wishes, the consent and approval of the Board of Directors and the shareholders of the company.
Genius Group.
In this way, Genius not only sees their goals truncated, but also faces a series of limitations.
The company is also taking measures to reduce its operations, including the closure of several divisions and the cancellation of all sponsorships of events, marketing activities and investment activities until it can legally resume its growth plans. All this, even when It has its headquarters in Singapore.
«We never imagined that an American court could prevent the company from issuing shares, collecting funds or buying Bitcoin; Actions that would normally decide the shareholders or the board of directors of a company that quotes on the stock market, and not a court, ”said Genius Group executive director Roger James Hamilton.
Meanwhile, the company seeks to raise restrictions. This week he presented an emergency motion to annul the court order and request an immediate administrative suspension before an United States Court of Appeals. Is waiting for the result of the appeal.