Digital Currency Group (DCG) has filed a lawsuit against its subsidiary, crypto lender Genesis, over a $1.1 billion loan from 2022. DCG claims that this amount sufficiently covered Genesis's losses after its collapse and asserts that Genesis has profited significantly since then. The lawsuit emerges after Genesis previously sued DCG for $3.1 billion, alleging fraudulent transfers at the time of its financial downfall. According to DCG, the value of the assets recovered from Three Arrows Capital has increased, effectively nullifying the repayment obligations under the loan. Genesis, which allowed users to earn returns on their crypto by lending it out, lent substantial amounts to distressed crypto firms, contributing to its issues. In response to Genesis’s claims, DCG maintains it met all contractual obligations and seeks confirmation from the court that these obligations have been fulfilled, emphasizing that Genesis ultimately did not incur any losses but gained from the situation as the value of cryptocurrency has risen significantly.

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