BTC PULSE
  • News
    • Altcoins
    • Blockchain
    • Bitcoin
    • Ethereum
    • NFT
    • Regulation
    • WEB 3.0
  • Price Prediction
  • Learn
  • Events
  • Advertise
No Result
View All Result
Play Now
  • News
    • Altcoins
    • Blockchain
    • Bitcoin
    • Ethereum
    • NFT
    • Regulation
    • WEB 3.0
  • Price Prediction
  • Learn
  • Events
  • Advertise
No Result
View All Result
BTC PULSE
No Result
View All Result
Play Now
Home Blockchain

Grayscale’s parent company reportedly owes $1.1 billion to Genesis

by Chiwuike Owunwa
Nov 21, 2022 - 12:00 am
in Blockchain
Grayscale's parent company reportedly owes $1.1 billion to Genesis

On the 21st of November 2022, Andrew Parish, the co-founder of Arch Public released a tweet about Digital Currency Group (DCG) owing $1.1 billion to Genesis.

https://twitter.com/AP_ArchPublic/status/1594386225200234496

The crypto sector has been having a difficult time. From FTX collapsing to the pressure on Ethereum’s selling price and with a huge distrust for centralized projects building, it seems DCG, Genesis, and GBTC are making headlines as the next to go the way of FTX.

According to Andrew’s tweet, an internal memo that was not disclosed to the public showed a 1.1 billion dollar debt between the parent company, DCG, and child company, Genesis. This is potentially a fraudulent act because fully disclosing such a memo would have discouraged certain investors from taking action toward Genesis.

It’s also believed that this is the reason behind this DCG and Genesis $1 billion fundraiser. With Genesis suffering $175 million exposure to the FTX crash, and DCG attempting to support Genesis with $140 million, there are signs of trouble. Genesis has also halted operations surrounding withdrawals and the creation of new loans on its platform.

If the information is true then DCG and Genesis are potentially in a bad position and their predicament would affect CBC which is also currently going through its issues. Thus if Genesis dies, DCG goes too and they might drag Grayscale down with them.

In light of all these, affecting the digital currency group of companies, Grayscale bitcoin trust has refused to show proof of its reserves.

Since FTX was fraudulent in its holdings and accounting, investors are poking into the claims of other centralized establishments. As a result of this, multiple projects like Binance and Kucoin started working with Nansen.

[NEW TODAY] Due to recent events, investors are understandably inquiring deeper into their crypto investments. In this thread we’ve compiled additional information about the safety and security of the assets held by our digital asset products. https://t.co/MvTfUoK4o6 🧵

— Grayscale (@Grayscale) November 18, 2022

In response to this, Grayscale released a  statement assuring users that all funds are safe, they are held as separate entities, and by legal stipulations, they are not allowed to lend or borrow any of said assets.

For security reasons they cannot disclose the assets they are holding and it’s all in the custody of yet another DCG subsidiary… Coinbase.

Simply put, panic caused by others’ failures isn’t a good enough reason to circumvent their complex security procedures.

Join the BTC-Pulse community on Telegram

Tags: GenesisGrayscale
Chiwuike Owunwa

Chiwuike Owunwa

Chiwuike is a frontend programmer and writer with 3 years experience in the Web3. He's meticulous researcher, enthusiastic about Blockchain and the future of crypto, DeFi, and the Metaverse.

Related Posts

Young South Korean man trading cryptocurrency on a laptop in a small apartment

South Korean Youth Turn to Crypto Amid Economic Desperation

June 20, 2025

South Korea’s youth are embracing crypto not for belief in blockchain, but due to rising housing costs and...

AgriFORCE's Bitcoin mining site in Alberta powered by stranded natural gas

AgriFORCE Powers 120 Bitcoin Mining Rigs With Stranded Natural Gas in Alberta

June 19, 2025

AgriFORCE powers 120 Bitcoin miners with stranded gas in Alberta, eyes two more sites. It may keep 50%...

blockchain

Gemini Accuses CFTC of Misconduct, Calls Seven-Year Probe Baseless

June 18, 2025

Gemini calls CFTC’s seven-year probe baseless, citing false claims and personal agendas in a formal misconduct complaint to...

Former Celsius CEO Alex Mashinsky exits court after sentencing

Judge Bars Alex Mashinsky From Claiming Celsius Bankruptcy Funds

June 17, 2025

A court ruled Alex Mashinsky and affiliates won’t get Celsius bankruptcy proceeds, clearing the way for creditor repayments...

Press Releases

image2

Could XYZVerse Overtake DOGE and SHIB? Analysts Say $0.003333 Could Explode to $10!

March 30, 2025

XYZVerse aims to outpace DOGE and SHIB, with bold $10 price goals, strong community rewards, and rising demand as it...

image1 1

Massive Institutional BTC Buys Could Launch the Next Bull Market: 5 Altcoins to Watch

March 29, 2025

Institutional Bitcoin buys may trigger a market surge. Five altcoins, including $XYZ, stand to gain—early investors could see major ROI...

image1

XRP Faces Strong Resistance While XYZVerse Gains Early Investor Attention With 10 Billion $XYZ Airdrop

March 28, 2025

XRP struggles at resistance, while XYZVerse grabs early investor attention with a 10B token airdrop and rapid growth toward a...

BTC

Popular Memecoin MEW Pledges $10,000 to Pasadena Humane Organization to Aid Animals Affected by California Wildfires

January 20, 2025

MEW memecoin donates $10K to Pasadena Humane for wildfire-affected animals. Join the mission to aid pets and wildlife in crisis...

View All
BTC-Pulse LogoTransparent

© 2024 BTC-PULSE. Disclaimer: The content is for informational purposes only, you should not construe any such information or other material as legal, tax, investment, financial, or other advice.

News

  • Altcoins
  • Bitcoin
  • Ethereum
  • NFT
  • Regulation
  • WEB 3.0

Info

  • Learn
  • Price Prediction
  • Events
  • Press Releases
  • Sitemap

Company

  • About Us
  • Terms of Service
  • Privacy Policy
  • Contact Us
  • Advertise

©2024 BTC-PULSE – All right Reserved.

No Result
View All Result
  • News
    • Altcoins
    • Blockchain
    • Bitcoin
    • Ethereum
    • NFT
    • Regulation
    • WEB 3.0
  • Price Prediction
  • Learn
  • Events
  • Advertise