Genesis

Bitcoin

when

Spot

James

<ul>
 <li>The firm was able to repay its debtors almost $1 billion in the last 18 months.</li>
 <li>Its only outstanding obligation is a $1.1 billion promissory note due to Genesis’s bankruptcy.</li>
</ul>
Blockchain investment behemoth Digital Currency Group (<a href="https://thenewscrypto.com/dcg-reports-51-revenue-growth-amidst-bitcoin-etf-competition/" target="_blank" rel="noopener noreferrer nofollow">DCG</a>) has paid off all of its short-term debts as of June. This is according to a quarterly shareholder letter the business sent out this week. Thanks in large part to a stellar performance during the first half of the year, the firm was able to repay its debtors almost $1 billion in the last 18 months.
Due to its crypto-lending business Genesis’s bankruptcy, its only outstanding obligation is a $1.1 billion promissory note. In 2022, when the crypto exchange <a href="http://ftx.com" target="_blank" rel="noopener noreferrer nofollow">FTX</a> and hedge fund Three Arrows Capital went down, DCG and its affiliate <a href="https://thenewscrypto.com/bitcoin-slides-to-60k-amid-genesis-repayment-concerns/" target="_blank" rel="noopener noreferrer nofollow">Genesis</a> were both caught up in the market contagion.
<h3 class="wp-block-heading" id="h-battling-through-tough-times">Battling Through Tough Times</h3>
When the trading empire of Su Zhu and Kyle Davies failed, Genesis lost a few billion dollars’ worth of assets that 3AC had borrowed from them. By providing the $1.1 billion promissory note and a cash loan, DCG ensured its subsidiary could continue operations.
Genesis was compelled to shut off withdrawals and declare bankruptcy in November. After the fall of FTX and sister business Alameda Research.
Gemini, Genesis, and DCG are three cryptocurrency businesses that were hit with a massive lawsuit by Attorney General Letitia James in October 2023. The firms are now contesting the allegations that they lied to investors. May saw the approval of a $2 billion settlement between Genesis and the NYAG’s office by a bankruptcy court.
According to the shareholder letter, since August when payments started rolling out, Genesis and DCG have paid back most of Genesis’ creditors. This includes cryptocurrency exchange Gemini, which had loaned Genesis client deposits from its “Earn” program.
Highlighted Crypto News Today:
<a href="https://thenewscrypto.com/hong-kong-spot-bitcoin-etfs-reach-269m-aum-amid-slow-inflows/" target="_blank" rel="noopener noreferrer nofollow">Hong Kong Spot Bitcoin ETFs Reach $269M AUM Amid Slow Inflows</a>

Digital Currency Group Clears Short-Term Debt of Nearly $1B

Table of Contents

TheNewsCrypto

Other articles published on Aug 25, 2024

Major Crypto Scams of 2023: Protecting Your Investments in 2024

Toncoin Tanks as Telegram CEO Pavel Durov Arrested in France

Altcoins That Bitcoin Whales Are Betting On

When Crypto Donations Weigh On The American Election !

Telegram CEO Pavel Durov Arrested in Paris, TON Coin Plummets 20%

BlockchainReporter Weekly Crypto News Review: Strategic Expansions Shape the Digital Frontier

Join our free newsletter for daily crypto updates!