The Genesis debt crisis, which affected more than 340,000 users of Gemini, one of the largest cryptocurrency exchanges in the USA, caused the sale of Grayscale, another subsidiary of the Digital Currency Group (DCG), which the company is under, with billions of dollars of crypto assets, causing the entire industry to go into chaos. can drag.
DCG and Gemini The tension of the debt crisis continues to escalate. Most recently, Gemini’s DCG subsidiary Genesis “Earn” program of withdrawals suspension post-crisis, Gemini CEO by Cameron Winklevoss To DCG to pay Genesis’ debt to call intensified on it.
Winklevoss to DCG’s Genesis 1.67 billion that he owes dollars and that this money belongs to Gemini. Earn program to customers belonging claimed to be.
After DCG CEO denied the allegations that Silbert borrowed from his subsidiary Genesis, Gemini CEO made statements, “Then how come you owe Genesis $1.67 billion?” replied in the form.
The company was sued over allegations that it had already gone bankrupt months ago.
As discussions between executives continued, Gemini customers sued Genesis, arguing that its subsidiary, Genesis, actually went bankrupt in the summer of 2022, but kept it secret from investors. Customers, the company’s sinking crypto mutual fund Three Arrows Capital (3AC) on you 2.3 billion dollar-valued claim 1.1 billion with a dollar bill swap He claimed that he was still standing.
Customers’ claims, 3AC founder of Su Zhu The value of DCG, which he recently made, is for now almost “none” It seems to coincide with what he said.
Another subsidiary with a billion-dollar balance sheet could affect the entire industry
In the midst of all this, experts said that DCG had to pay off the corresponding debt. Grayscale’s their assets liquidation to do considers the possibility. According to experts, DCG subsidiary Genesis to pay creditors part of the balance sheet for to sell must can stay. Experts on some tokens a significant portion of the total supply. holding Grayscale, which their positions liquidation in tokens to be liquidated while disagreeing on whether a serious decline He thinks he can live.
The current balance sheet of Grayscale, which is currently speculated on, is as follows:
Bitcoin (BTC): On the Grayscale balance sheet 10.5 billion holds USD worth of BTC the company’s BTC holdings total market value 3.28% of forming.
Ethereum (ETH): On the Grayscale balance sheet 3.6 billion holding dollars worth of ETH the company’s ETH holdings total market value 2.52% of forming.
Ethereum Classic (ETC): On the Grayscale balance sheet 189 million holding dollars worth of ETC company’s ETC holdings total market value 8.53% of forming.
Litecoin (LTC): On the Grayscale balance sheet 114 million dollar worth of LTC holding company’s LTC assets total market value 3.28% of forming.
Bitcoin Cash (BCH): On the Grayscale balance sheet 30.5 million dollars worth of BCH holdings the company’s BCH assets of the total market value 1.60% of forming.
Zcash (ZEC): On the Grayscale balance sheet 12.6 million dollar worth of ZEC holding company’s ZEC assets of the total market value 2.53% of forming.
Horizon (ZEN): On the Grayscale balance sheet 5.7 million dollars worth ZEN holding company’s ZEN assets total market value 4.64% of forming.
Decentraland (MANA): On the Grayscale balance sheet 5.6 million dollars worth of MANA holds the company’s MANA assets of the total market value 1% of forming.
Some analysts approximate 14.5 billion In the event of a possible liquidation of Grayscale, which is $ less popular tokens He suggested that he might begin to dispose of it. In this context, analysts primarily Horizen (ZEN), Zcash (ZEC), Ethereum Classic (ETC), Litecoin (LTC), Decentraland (MANA), and Bitcoin Cash (BCH) stated that there is a possibility of disposal.
On the other hand, other analysts say that in such cases, companies most liquid asset He claimed that they tended to liquidate. Much less in case of bulk sale of liquid assets price shift Analysts, who stated that they were exposed to Bitcoin (BTC) and Ethereum (ETC) claimed it would. Grayscale’s total market cap of Bitcoin to 3.28% Ethereum’s total market value to 2.52% Underlining that it has negative pointed out that it might be affected in some way.