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HomeCryptocurrency NewsDigital Currency Group CEO Barry Silbert downplays FTX impact on Genesis, expects...

Digital Currency Group CEO Barry Silbert downplays FTX impact on Genesis, expects $800M revenue in 2022

Digital Currency Group (DCG) CEO Barry Silbert sent shareholders a memo on Nov. 22 addressing the situation surrounding Genesis’ liquidity.
Silbert said the suspension of withdrawals at Genesis’ lending arm Genesis Global Capital was an “issue of liquidity and duration mismatch in the Genesis loan book”
The CEO noted that these issues have “no impact” on Genesis’ spot and derivatives trading or custody businesses.
Genesis has hired financial and legal advisers to look at “all possible options amidst the fallout from the implosion of FTX”
DCG has a liability to Genesis Global Capital of about $575 million, due May 2023. The money was borrowed “in the ordinary course of business,” according to Silbert
The company also has a $1.1 billion promissory note due in June 2032 due to the assumption of liabilities from Genesis after the default of Three Arrows Capital.
DCG’s only other debt is a $350 million credit facility.
Silbert explained that DCG has only raised $25 million in primary capital.
The CEO said the company is “pacing to do $800 million in revenue this year.”

The post Digital Currency Group CEO Barry Silbert downplays FTX impact on Genesis, expects $800M revenue in 2022 appeared first on CryptoSlate.

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