Why did Digital Currency Group take on Genesis' debts?

In early July 2022, Genesis' parent company Digital Currency Group (DCG) took on some of Genesis' debts to keep the company afloat after it was left exposed to losses from loans made to Singapore-based crypto lender Babel Finance and the bankrupt crypto hedge fund, Three Arrows Capital (3AC).

Who owns Genesis cryptocurrency?

Genesis is owned by Stamford, Connecticut-based venture capital company Digital Currency Group. The contagion concerns stem from Genesis' prominence in crypto, its links to troubled firms and broader reach into the financial world.

What happened to digital currency group?

U.S. crypto company Digital Currency Group (DCG) is at the center of the industry's latest meltdown after one of its companies, Genesis, froze customer withdrawals in November. Genesis said it is working to avoid a bankruptcy, but investors fear its collapse could bring down other connected companies and projects.

Who is Genesis Global Trading?

Genesis Global Trading, Inc. was founded in 2013. It is a subsidiary of the Digital Currency Group, a venture capital company founded by Barry Silbert. Genesis' business consists of entities that provide trading, lending, and custody digital assets, targeting institutional clients and high-net-worth individuals.