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DCG Sues Subsidiary Genesis for Over $105 Million in Damages
Summary: According to The Block, global investment firm Digital Currency Group (DCG) is suing its subsidiary Genesis Global Capital LLC for providing $1.1 billion in guarantees to support the now bankrupt Genesis during the last cryptocurrency crash. DCG filed a lawsuit in the Southern District of New York bankruptcy court, stating that the company attempted to ...
According to The Block, global investment firm Digital Currency Group (DCG) is suing its subsidiary Genesis Global Capital LLC for providing $1.1 billion in guarantees to support the now bankrupt Genesis during the last cryptocurrency crash. DCG filed a lawsuit in the Southern District of New York bankruptcy court, stating that the company attempted to cover potential shortfalls with this $1.1 billion promissory note, in response to the 2022 cryptocurrency hedge fund collapse of Three Arrows Capital. DCG noted that Three Arrows Capital was one of Genesis's largest borrowers. DCG is seeking a court order for Genesis Global Capital to pay over $105 million in damages and interest.
