Skip to main content

Breaking: DCG owes creditors over $3B, considering $500M VC portfolio sale

Crypto broker Genesis allegedly owes $900 million to clients of cryptocurrency exchange Gemini alone.

Cryptocurrency broker Genesis Global allegedly owes its creditors more than $3 billion, according to a new report published by the Financial Times on Jan. 12. Its parent, Digital Currency Group (DCG), which also owns Grayscale Investments and its series of digital asset trusts, seeks to sell part of its venture capital holdings to offset the shortfall.

According to people familiar with the matter, DCG's venture arm has more than 200 crypto-related projects "such as exchanges, banks, and custodians in at least 35 countries" with a total valuation of around $500 million.

Cointelegraph previously reported on Nov.16, 2022, that Genesis Global halted withdrawals citing "unprecedented market turmoil." At the time, the company reportedly had $175 million worth of funds stuck on FTX and had already received a $ 140 million equity infusion to cover losses. 

This is a developing story, and further information will be added as it becomes available.

Comments

Post a Comment

Popular posts from this blog

DeFi karma: Garden hacked for $11M after bridging Lazarus' loot

Yesterday’s $11 million hack of bitcoin (BTC) bridge Garden was met with little sympathy from the crypto community, following allegations of its profiting from the proceeds of other hacks. Acknowledging the incident, the team insisted that the protocol itself wasn’t hacked. Instead, one of its “solvers” was compromised, with losses “limited to the solver’s own inventory.” However, on-chain evidence points to the solver being run by the Garden team and blockchain investigators have accused the team of attempting to “downplay the incident” in order to appear “decentralized.” we’ve detected a compromise involving one of garden’s solvers. the app is temporarily offline while we complete a full investigation. the impact is limited to the solver’s own inventory — user funds and garden protocol are not at risk. we’ll share updates as soon as we have… — Garden (@gardenfi) October 30, 2025 Read more: DeFi projects under fire for inflated TVL and murky ...
Read more

Coinbase customer service scammer outed as part-time furry

Crypto sleuth ZachXBT has revealed how a part-time furry turned scammer stole over $4 million from Coinbase users by posing as customer support staff for the exchange.  Christian Nieves reportedly ran a call centre group that tricked Coinbase users into setting up wallets with compromised seed passwords. ZachXBT shared footage of one elderly victim losing over $240,000 to the scammers.  Nieves, who went by “Daytwo” and “PawsOnHips” on various online accounts, spent the stolen funds on luxury goods, including a Corvette, diamond- encrusted watches, and high-end clubbing services.  3/ In Nov 2024 $240K was stolen from an elderly victim with Daytwo’s worker Paranoia (Justin). A private recording of the theft exists and was obtained (see part 1 below) Theft address bc1q35tw4f5qrfxrjy2v8g8d3majtujv28audm6yvp AJU5yh4kDahLak4uq5n4ehJDVs2w2Lbhw9UHoseaBwV7 pic.twitter.com/R8hOn7Xq70 — ZachXBT (@zachxbt) June 23, 2025 Read more: Coinbase breach over Christmas exposed...
Read more

No Recovery In Sight For Bitcoin: Is The Bull Run Done For?

Image
The cryptocurrency market continues its lackluster performance as we enter November 2025. Bitcoin (BTC) is struggling to gain momentum and is trading in the red zone across nearly all time frames. According to CoinGecko, the original crypto is down 2.5% in the last 24 hours, 6.6% in the last week, 2.5% in the 14-day charts, and 12.2% over the previous month. October, once considered a bullish month for crypto, has gone the other way around in 2025. Given the current market environment, it would appear there is no recovery in sight for Bitcoin (BTC) or the larger crypto market. Source: CoinGecko When Will Bitcoin Enter a Recovery Phase? Bitcoin bull market with green upward arrow – Source: Bitcoinmagazine The current market environment is quite surprising. The Federal Reserve lowered interest rates by an additional 25 basis points after its October meeting. Interest rate cuts often lead to Bitcoin (BTC) and other cryptocurrencies rallying as borrowing becomes easier and investors t...
Read more