2024

Bitcoin ETF

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In a significant move towards financial stability, Digital Currency Group (DCG) announced that it completed the payoff of all short-term loans, totaling over $1 billion. 
Genesis received some $700 million of that sum. 
DCG — a major player in supporting emerging financial systems — plans to forge ahead as it pledges dedication to financial obligations. 
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 <a href="https://t.co/dUEi8j7nHo" target="_blank">pic.twitter.com/dUEi8j7nHo</a>— Digital Currency Group (@DCGco) <a href="https://twitter.com/DCGco/status/1743390858144059536?ref_src=twsrc%5Etfw" target="_blank" rel="noopener">January 5, 2024</a>
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 You might also like: <a href="https://crypto.news/genesis-and-3ac-reach-33m-settlement-in-billion-dollar-claim/"> Genesis and 3AC reach $33m settlement in billion-dollar claim </a> 
Last month, DCG founder <a href="https://crypto.news/dcg-founder-barry-silbert-steps-down-from-grayscale-board/">Barry Silbert</a> stepped down from the Grayscale board. The move preceded expectations of a decision on a spot Bitcoin ETF from the U.S. Securities and Exchange Commission (SEC). Silbert’s resignation, disclosed through a filing with the SEC, saw Mark Shifke assume the role of the new chairman.&nbsp; 
This change, along with appointments to the board, precedes legal challenges, including a $1 billion fraud lawsuit by New York Attorney General Letitia James. 
In a legal twist, a judge <a href="https://crypto.news/court-prevents-dcg-from-altering-genesis-ownership/">ruled</a> that DCG cannot make ownership changes within Genesis until it successfully exits bankruptcy. This decision safeguards Genesis under DCG’s tax consolidated group, providing specific benefits during its bankruptcy status. 
The protective measures will remain until the effective date of a Chapter 11 plan or a potential transition to a Chapter 7 case, emphasizing the importance of DCG maintaining a stake above 80% for preserving potential value. 
 You might also like: <a href="https://crypto.news/genesis-suing-dcg-to-recover-620m-in-outstanding-loans/"> Genesis suing DCG to recover $620m in outstanding loans </a> 
In October 2023, DCG <a href="https://crypto.news/dcg-announces-23-q3-revenue-jump-and-genesis-repayments-amid-legal-hurdles/">reported</a> a 23% increase in revenues for Q3 of the year to $188 million due to a recovering cryptocurrency market. Significant repayments to bankrupt crypto lender Genesis were also mentioned. The market recovery at the time was partially attributed to the anticipation of the approval of Bitcoin spot ETFs by U.S. crypto regulators.&nbsp; 
There seem to be some positive financial indicators for the company, however, Genesis Global Trading an affiliate of DCG <a href="https://crypto.news/genesis-global-set-to-quit-crypto-spot-trading-business/">decided</a> to discontinue its crypto spot trading operations citing undisclosed “business reasons.” 
This move arrived after Genesis Global Holdco filed for bankruptcy in January 2023 as its specialized service was a provision lending cryptocurrencies. 
Despite the pause, Genesis Global Trading assures its continuity of spot and derivatives trading services through GGC International, a registered trading firm in the British Virgin Islands. 
 Read more: <a href="https://crypto.news/gemini-genesis-dcg-slammed-with-1b-crypto-fraud-lawsuit/"> Gemini, Genesis, DCG Slammed with $1b Crypto Fraud Lawsuit </a>

DCG completes $1b payoff of short-term loans, Genesis gets $700m

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