{"id":43797,"date":"2023-01-12T14:28:56","date_gmt":"2023-01-12T18:28:56","guid":{"rendered":"https:\/\/coinscreed.com\/staging\/?p=43797"},"modified":"2023-01-12T14:29:10","modified_gmt":"2023-01-12T18:29:10","slug":"crypto-lender-genesis-owes-creditors-over-3b","status":"publish","type":"post","link":"https:\/\/coinscreed.com\/staging\/crypto-lender-genesis-owes-creditors-over-3b\/","title":{"rendered":"Crypto Lender Genesis Owes Creditors Over $3B"},"content":{"rendered":"\n
Silbert's DCG, which runs the crypto broking agency Genesis<\/a>, allegedly owes its creditors more than $3 billion.<\/h5>\n\n\n\n
\"Crypto
Crypto Lender Genesis Owes Creditors Over $3B<\/figcaption><\/figure>\n\n\n\n

DCG, a conglomerate that owns crypto broker Genesis, investment management firm Grayscale, and other crypto media outlets, was caught off guard by the collapse of the FTX crypto exchange<\/a> in November 2022 and is now attempting to raise new capital in order to get out of its current financial situation. <\/p>\n\n\n\n

The most recent reports, which were released on January 12, claim that Genesis Global owes its creditors more than $3 billion.People with knowledge of the situation say that the Digital Currency Group is thinking about selling some of its venture capital investments. <\/p>\n\n\n\n

At least 200 cryptocurrency-related projects, including exchanges, banks, and custodians, are included in these holdings, which are dispersed across at least 35 nations. <\/p>\n\n\n\n

Financial experts predict that the current valuations of all of these will be somewhere around $500 million.One of the biggest venture portfolios in the cryptocurrency sector was managed by DCG. <\/p>\n\n\n\n

It has given financial support to a number of cryptocurrency exchanges, including Blockchain.com, Kraken, and Coinbase, all of which are based in the United States. <\/p>\n\n\n\n

The crypto juggernaut additionally provided support for Sam Bankman-Fried's<\/a> FTX, in which it made a $250,000 investment in July 2021. <\/p>\n\n\n\n

The American bank Silvergate<\/a>, the provider of digital wallets Rainbow, the crypto lottery app Jackpocket, the NFT marketplace WENEW, and the American bank Silvergate are among the other companies in which DCG has invested.<\/p>\n\n\n\n

Genesis, a wholly owned subsidiary of DCG and one of the biggest lenders in the cryptocurrency market, allowed customers to lend out their cryptocurrencies in exchange for sizable yields. <\/p>\n\n\n\n

However, due to “extraordinary market turmoil,” it stopped customer withdrawals in November of last year. As was previously reported, co-founder of the Gemini exchange Cameron Winklevoss\r\n \r\n \r\n \r\n <\/g>\r\n \r\n \r\n \r\n <\/clipPath>\r\n <\/defs><\/svg><\/span><\/a> asserted that Genesis had lent more than $2.3 billion to the hedge fund Three Arrows Capital, resulting in a $1.2 billion loss. <\/p>\n\n\n\n

More significantly, Gemini revealed that as part of its Earn program, it had lent Genesis more than $900 million in customer deposits, which are currently stuck and affecting about 340,000 US customers.<\/p>\n","protected":false},"excerpt":{"rendered":"

Silbert’s DCG, which runs the crypto broking agency Genesis, allegedly owes its creditors more than $3 billion. DCG, a conglomerate that owns crypto broker Genesis, investment management firm Grayscale, and other crypto media outlets, was caught off guard by the collapse of the FTX crypto exchange in November 2022 and is now attempting to raise […]<\/p>\n","protected":false},"author":43,"featured_media":43799,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[21],"tags":[],"class_list":["post-43797","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news"],"jetpack_featured_media_url":"https:\/\/coinscreed.com\/staging\/wp-content\/uploads\/2023\/01\/croc_1673546117933.jpg","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/posts\/43797","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/users\/43"}],"replies":[{"embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/comments?post=43797"}],"version-history":[{"count":0,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/posts\/43797\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/media\/43799"}],"wp:attachment":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/media?parent=43797"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/categories?post=43797"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/tags?post=43797"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}