After DCG was caught off guard by the failure of the FTX password exchange in November 2022, DCG is trying to raise new capital to recover from its financial woes. DCG is a group that owns password trader Genesis, investment consulting firm GrayScale and other password media organizations. According to the latest news released on January 12th, Genesis Global is said to owe debtors more than $3 billion.

DCG's Genesis owes $3 billion.

According to industry insiders, Digital currency Group is trying to sell some of its venture capital holdings. Such assets include at least 200 password-related projects, such as exchanges, banks or fund custodians, in at least 35 countries and territories. All of these companies are expected to be valued at around $500 million at this stage, according to financial experts.

For additional information, please refer to:Take a look at the most popular encrypted message channel program in 2023

The DCG management approach is one of the largest venture capital components in the cryptocurrency field. Financial support for a variety of cryptocurrency exchanges, such as Kraken, Coinbase and Blockchain.com in the United States. The password mogul also provided Rob Bankman-Fried's FTX, which invested $250000 in July 2021. Other companies invested by DCG include SilverGate, a US financial institution, Circle, a digital currency wallet company, JackPocket, a cryptographic welfare lottery, WENEW, a NFT sales market, and Tianhong, a wallet service provider.

In the midst of growing anxiety, Genesis 1

Genesis, a wholly owned subsidiary of DCG, one of the largest lenders in the password market, allows customers to lend out his cryptocurrency for a high return. Even so, in November last year, it suspended customer withdrawals because of "extraordinary volatility in the sales market". Cameron Winklevoss, founder of the Gemini Exchange, claimed that Genesis lent more than $2.3 billion to Three Arrow Capital, a financial derivative, causing $1.2 billion in damage, according to an earlier report by CoinGape. More crucially, as part of the profit plan, Gemini shows that it has lent customers savings worth more than $900m to Genesis, which is desperate at this stage; it affects more than 340000 customers in the US.

Genesis's liabilities also include $300m owed to Bitvavo, the Spanish exchange, and its liabilities to Donut customers. Donut is an encrypted deposit company based in California. In addition to the great work pressure that Genesis faces, the new report also mentions that Genesis also has an independent group of debtors, which are currently meant by Proskauer Rose's lawyers and consultants.

DCG is one of the largest and earliest advertisers of digital currency and encryption companies, founded by well-known financier Sedabet in 2015. Its total market capitalization is likely to be a staggering $10 billion in 2021, while it has been applied by blue-chip investors such as Softbank Corp. Investment, Ribbit Capital and Alphabet's venture capital unit CapitalG.

Please also refer to:The first encrypted insider trading case on Coinbase was sentenced to October in prison.