Digital Currency Group (DCG) has filed a lawsuit against its subsidiary, crypto lender Genesis, amid a complex backdrop following Genesis's collapse in 2022. The lawsuit asserts that the $1.1 billion loan provided to Genesis was more than sufficient to cover their losses, and claims that Genesis has since turned a profit due to the appreciation of collateral assets from Three Arrows Capital, which defaulted on debts. Genesis halted withdrawals in 2022 amid market turmoil, and subsequently, DCG had to intervene to assist its subsidiary. The suit comes after Genesis previously sued DCG for $3.1 billion, alleging that DCG engaged in fraudulent transfers during its collapse. DCG contends that it has fulfilled its obligations under the promissory note given to Genesis, asserting that all contractual commitments have now been met and are seeking legal confirmation of this.

Source 🔗