- Digital Currency Group (DCG) settles Genesis debt.
- Besides settling Genesis’s debt, DCG has repaid a total of $1B to its creditors.
- Memeinator’s MMTR token presale has raised $3.2M in its eleventh stage.
Digital Currency Group (DCG) has achieved a significant financial milestone by fully clearing its short-term debt, including the debt it owed the bankrupt Genesis subsidiary.
Simultaneously, the crypto space is buzzing about Memeinator and its MMTR token presale, aiming to capitalize on the meme coin mania.
DCG settles Genesis debt
The short-term debts resolved by Digital Currency Group included a substantial repayment of $1 billion to creditors and a staggering $700 million directed towards Genesis. This strategic move ensures stability for DCG amid ongoing bankruptcy proceedings and underscores the company’s commitment to responsible fiscal management.
The debt settlement follows a lawsuit initiated by Genesis in September, seeking the recovery of an outstanding loan balance exceeding $610 million. DCG’s commitment to debt repayment, highlighted in a strategic agreement reached in August, reflects its determination to honour financial obligations.
Crucially, the agreement safeguards Genesis under DCG’s tax consolidated group, offering protection and potential tax benefits. This protection could prove instrumental, allowing Genesis to offset losses against future profits and potentially retain benefits on Net Operating Losses (NOLs) amounting to $700 million.
Notably, after the $700 million repayment, the remaining loan balance is scheduled for repayment to Genesis by April 1, as approved in federal bankruptcy court.
Despite uncertainties in the aftermath of the cryptocurrency market crash, both DCG and Genesis express optimism about the future.
DCG CEO Barry Silbert, while showing his excitement about the recent settlement in a tweet stated that he is “excited about the industry’s next chapter and DCG’s leadership role in it.”
I’m happy to share that @DCGco completed a full pay down of the money borrowed from Genesis
We have now repaid over $1 bn of debt, including this ~$700 mm, despite the headwinds faced by the industry
I’m excited about the industry’s next chapter and DCG’s leadership role in it https://t.co/Jlbu3Zs7Xl
— Barry Silbert (@BarrySilbert) January 5, 2024