Crypto Exchange Gemini Says Investment Giant DCG Is Using Misleading Assertions in Bankruptcy Plan - The Daily Hodl
Digital asset exchange Gemini is accusing venture capital firm Digital Currency Group (DCG) of engaging in deceptive practices to avoid fulfilling its full obligations to the creditors of its crypto lending unit Genesis....
- Gemini, a digital asset exchange, has accused venture capital firm Digital Currency Group (DCG) of engaging in deceptive practices to avoid fulfilling its obligations to the creditors of its crypto lending unit Genesis.
- In July, Gemini filed a lawsuit against DCG after Genesis went bankrupt, leaving $735 million worth of assets owed to users of Gemini Earn.
- DCG proposed an agreement offering unsecured creditors, including Gemini Earn users, a 70-90% recovery with a significant portion in digital currencies.
- Gemini argues that DCG's proposed recovery rates are misleading and deceptive, stating that Gemini lenders will not receive anything close to the proposed rates.
- Genesis claims that DCG is trying to pay less than what it owes and is making misleading assertions to escape responsibility.
The article highlights a dispute between Gemini and Digital Currency Group over the proposed recovery rates for creditors of Genesis. Gemini accuses DCG of deceptive practices, while DCG claims its proposal is fair. The sentiment is negative due to the conflict and accusations.