1. Home
  2. DCG

DCG

New York Attorney General Triples the Size of Genesis and Digital Currency Group’s Alleged Fraud in New Amended Complaint

New York Attorney General Triples the Size of Genesis and Digital Currency Group’s Alleged Fraud in New Amended Complaint

In a newly amended complaint, New York State Attorney General (AG) Letitia James alleges that investment giant Digital Currency Group (DCG) and its affiliate Genesis defrauded some 230,000 investors out of more than $3 billion. James first launched the lawsuit in October 2023, alleging that DCG, the crypto exchange Gemini and the bankrupt lending firm […]

The post New York Attorney General Triples the Size of Genesis and Digital Currency Group’s Alleged Fraud in New Amended Complaint appeared first on The Daily Hodl.

Analyst Says XRP and One Ethereum Rival Flashing Bullish Signal, Updates Outlook on Bitcoin (BTC)

Crypto Lender Genesis Agrees to $21 Million Civil Penalty To Settle Gemini Earn SEC Lawsuit: Report

Crypto Lender Genesis Agrees to  Million Civil Penalty To Settle Gemini Earn SEC Lawsuit: Report

Bankrupt crypto lender Genesis is reportedly agreeing to pay a $21 million civil fine to settle with the U.S. Securities and Exchange Commission (SEC) over the now-defunct Gemini Earn program. According to a new report by Reuters, the settlement will allow Genesis to focus on repaying customers and creditors instead of having to defend itself […]

The post Crypto Lender Genesis Agrees to $21 Million Civil Penalty To Settle Gemini Earn SEC Lawsuit: Report appeared first on The Daily Hodl.

Analyst Says XRP and One Ethereum Rival Flashing Bullish Signal, Updates Outlook on Bitcoin (BTC)

Genesis Global Trading Ordered To Pay $8,000,000 Fine by New York Financial Regulator Over Compliance Violations

Genesis Global Trading Ordered To Pay ,000,000 Fine by New York Financial Regulator Over Compliance Violations

A New York financial regulator is ordering crypto firm Genesis Global Trading to pay an $8 million fine after it was found to be in violation of the law. In a new press release, the New York State Department of Financial Services (DFS) says that the crypto trading branch of the Digital Currency Group (DCG) […]

The post Genesis Global Trading Ordered To Pay $8,000,000 Fine by New York Financial Regulator Over Compliance Violations appeared first on The Daily Hodl.

Analyst Says XRP and One Ethereum Rival Flashing Bullish Signal, Updates Outlook on Bitcoin (BTC)

Digital Currency Group Has Paid Off $1,000,000,000 in Short-Term Debt, Says CEO Barry Silbert

Digital Currency Group Has Paid Off ,000,000,000 in Short-Term Debt, Says CEO Barry Silbert

Digital Currency Group (DCG) CEO Barry Silbert says the venture capital firm has settled over $1 billion in debt, including the nearly $700 million owed to its bankrupt subsidiary Genesis.  In September, Genesis filed a lawsuit to recover around $627 million in loans owed to it by DCG and its affiliate DCG International Investments (DCIG) […]

The post Digital Currency Group Has Paid Off $1,000,000,000 in Short-Term Debt, Says CEO Barry Silbert appeared first on The Daily Hodl.

Analyst Says XRP and One Ethereum Rival Flashing Bullish Signal, Updates Outlook on Bitcoin (BTC)

Crypto Billionaire Barry Silbert Steps Down As Grayscale Chairman of The Board

Crypto Billionaire Barry Silbert Steps Down As Grayscale Chairman of The Board

Billionaire and early crypto entrepreneur Barry Silbert is resigning from crypto asset manager Grayscale’s board of directors as of New Year’s Day 2024. Silbert, head of Grayscale’s parent company Digital Currency Group (DGC), will give his chair to DCG’s chief financial officer (CFO) Mark Shifke, according to a new filing with the U.S. Securities and Exchange […]

The post Crypto Billionaire Barry Silbert Steps Down As Grayscale Chairman of The Board appeared first on The Daily Hodl.

Analyst Says XRP and One Ethereum Rival Flashing Bullish Signal, Updates Outlook on Bitcoin (BTC)

Digital Currency Group and Genesis Global Reach Bankruptcy Agreement: Court Docs

Digital Currency Group and Genesis Global Reach Bankruptcy Agreement: Court Docs

Venture capital firm Digital Currency Group (DCG) and its bankrupt subsidiary Genesis Global have struck a new agreement to settle an ongoing legal battle. A new filing with the US Bankruptcy Court for the Southern District of New York says that in September, Genesis filed a lawsuit to recover approximately $627 million in loans owed […]

The post Digital Currency Group and Genesis Global Reach Bankruptcy Agreement: Court Docs appeared first on The Daily Hodl.

Analyst Says XRP and One Ethereum Rival Flashing Bullish Signal, Updates Outlook on Bitcoin (BTC)

Genesis strikes repayment deal with parent firm DCG to end $620M lawsuit

Digital Currency Group has over $320 million left to repay, according to Genesis, and the deal would see that remaining sum repaid by April next year.

Bankrupt crypto lender Genesis and its parent company, Digital Currency Group (DCG), has struck a deal that could end an ongoing lawsuit to claw back $620 million in repayments from DCG. 

In a Nov. 28 filing to a New York Bankruptcy Court, Genesis said DCG agreed to pay its outstanding $324.5 million in loans by April next year, and Genesis can chase up on any unpaid amounts.

The proposed deal aims to allow Genesis to end a lawsuit filed against DCG in September that sought to have the firm repay overdue loans worth around $620 million. DCG has made some payments since the suit.

Highlighted excerpt of the agreement between Genesis (GGC) and DCG. Source: Kroll

Genesis said the repayment deal will provide it with “immediate significant and near-term benefits” and avoid the “risk, expense, and diversion of resources that would be required by litigation.”

The deal will form part of Genesis’ plans to pay back creditors, who will vote on the plan before it is sent to bankruptcy judge Sean Lean for a decision — who will consider the creditor’s votes.

Related: Genesis seeks court’s approval to reduce Three Arrows Capital claim from $1B to $33M

Genesis also sued crypto exchange Gemini on Nov. 22, seeking to recover nearly $670 million in transfers.

Meanwhile, Genesis and Gemini are facing a lawsuit from the Securities and Exchange Commission, which claimed they sold unregistered securities. New York also sued the duo and DCG, alleging the trio defrauded investors.

Genesis filed for bankruptcy in January after suspending withdrawals in November 2022.

Magazine: Hall of Flame: Crypto lawyer Irina Heaver on death threats, lawsuit predictions

Analyst Says XRP and One Ethereum Rival Flashing Bullish Signal, Updates Outlook on Bitcoin (BTC)

Gemini, Genesis and DCG Lied to Investors and Tried to Hide $1,000,000,000 in Crypto Losses, Alleges New York AG

Gemini, Genesis and DCG Lied to Investors and Tried to Hide ,000,000,000 in Crypto Losses, Alleges New York AG

New York State Attorney General (AG) Letitia James is suing three large crypto firms for allegedly defrauding over 230,000 Americans. In a new press release, AG Letitia James says that she is taking legal action against the crypto exchange Gemini, the lending firm Genesis and the investment giant Digital Currency Group (DCG) over allegations that […]

The post Gemini, Genesis and DCG Lied to Investors and Tried to Hide $1,000,000,000 in Crypto Losses, Alleges New York AG appeared first on The Daily Hodl.

Analyst Says XRP and One Ethereum Rival Flashing Bullish Signal, Updates Outlook on Bitcoin (BTC)

Crypto Exchange Gemini Says Investment Giant DCG Is Using Misleading Assertions in Bankruptcy Plan

Crypto Exchange Gemini Says Investment Giant DCG Is Using Misleading Assertions in Bankruptcy Plan

Digital asset exchange Gemini says venture capital firm Digital Currency Group (DCG) is engaging in deceptive practices to avoid fulfilling its full obligations to the creditors of its crypto lending unit Genesis. In July, Gemini filed a lawsuit against DCG after Genesis went bankrupt while owing $735 million worth of assets to users of Gemini […]

The post Crypto Exchange Gemini Says Investment Giant DCG Is Using Misleading Assertions in Bankruptcy Plan appeared first on The Daily Hodl.

Analyst Says XRP and One Ethereum Rival Flashing Bullish Signal, Updates Outlook on Bitcoin (BTC)

Bitcoin derivatives data suggests BTC price holds the current range

BTC investor sentiment turns increasingly bullish after this week’s quick rebound from a sharp price correction.

Bitcoin (BTC) experienced a 5% increase after testing the $25,000 support level on Sept. 11. However, this breakout rally doesn't necessarily indicate a victory for bulls. To put today’s price action in perspective, BTC has witnessed a 15% decline since July. In contrast, the S&P 500 index and gold have maintained relatively stable positions during this period. 

This underperformance demonstrates that Bitcoin has struggled to gain momentum, despite significant catalysts such as Microstrategy's plan to acquire an additional $750 million worth of BTC and the multiple requests for Bitcoin spot ETFs from trillion-dollar asset management firms. Still, according to Bitcoin derivatives, bulls are confident that $25,000 marked a bottom and opened room for further price gains.

Bitcoin/USD vs. gold and S&P 500 futures, 12-hour. Source: TradingView

Some argue that Bitcoin's primary drivers for 2024 are still in play, specifically the prospects of a spot ETF and the reduction in supply following the April 2024 halving. Additionally, some of the cryptocurrency markets’ immediate risks have diminished following the U.S. Securities and Exchange Commission (SEC) experiencing partial losses in three separate cases involving Grayscale, Ripple and the decentralized exchange Uniswap.

On the other hand, bears have their own set of advantages, including the ongoing legal cases against leading exchanges like Binance and Coinbase. Moreover, there is the troubled financial situation of the Digital Currency Group (DCG) after one of its subsidiaries declared bankruptcy in January 2023. The group is burdened with debts exceeding $3.5 billion, potentially leading to the sale of funds managed by Grayscale, including the Grayscale Bitcoin Trust (GBTC).

Let's look at derivatives metrics to understand better how professional traders are positioned in the current market conditions.

Bitcoin futures and options metrics held steady despite the correction

Bitcoin monthly futures typically trade at a slight premium to spot markets, indicating that sellers are asking for more money to delay settlement. As a result, BTC futures contracts should typically trade at a 5 to 10% annualized premium — a situation known as contango, which is not unique to crypto markets.

Bitcoin 1-month futures annualized premium. Source: Laevitas.ch

It's worth noting that the demand for leveraged BTC long and short positions through futures contracts did not have a significant impact on the drop below the $25,000 mark on Sept. 11. However, the BTC futures premium continues to hover below the 5% neutral threshold. This metric remains in the neutral-to-bearish range, indicating a lack of demand for leverage long positions.

To gauge market sentiment further, it’s also helpful to look at the options markets, as the 25% delta skew can assess whether the retest of the $25,000 has made investors more optimistic. In short, if traders expect a drop in Bitcoin’s price, the skew metric will rise above 7%, while periods of excitement typically have a negative 7% skew.

Bitcoin 30-day options 25% delta skew. Source: Laevitas.ch

The situation underwent a notable shift on Sept. 11, as the 25% delta skew metric, which previously indicated a 9% premium on protective put options, suggesting investors were expecting a correction, has now leveled off at 0. This indicates a balanced pricing between call and put options, implying equal odds for both bullish and bearish price movements.

Macroeconomic uncertainty favors bears, but BTC bulls remain confident

Given the uncertainty on the macroeconomic front, particularly with the upcoming release of the inflation CPI report on Sept. 13 and retail sales data on Sept. 14, it's likely that crypto traders will be cautious and prefer a "return to the mean." In this context, the mean represents the predominant trading range of $25,500 to $26,200 observed over the past couple of weeks.

However, from a bullish perspective, the fact that derivatives markets held up during the dip below $25,000 is a promising sign. In other words, if bears had significant conviction, one would expect a stronger appetite for put options and a negative BTC futures premium, known as "backwardation."

Ultimately, both bulls and bears have significant triggers that could influence the price of Bitcoin, but predicting the timing of events such as court decisions and ETF rulings is challenging. This dual uncertainty likely explains why derivatives metrics have remained resilient, as both sides exercise caution to avoid excessive exposure.

This article is for general information purposes and is not intended to be and should not be taken as legal or investment advice. The views, thoughts, and opinions expressed here are the author’s alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.

Analyst Says XRP and One Ethereum Rival Flashing Bullish Signal, Updates Outlook on Bitcoin (BTC)