BlockBeats reports that on August 15, according to The Block, global investment company Digital Currency Group (DCG) is suing its subsidiary Genesis Global Capital LLC for the $1.1 billion guarantee provided to support the now-bankrupt Genesis during the last cryptocurrency crash.
In a lawsuit filed in the Bankruptcy Court for the Southern District of New York, DCG stated that it had attempted to cover a potential "gap" with this $1.1 billion promissory note, which was a measure taken in response to the collapse of the cryptocurrency hedge fund Three Arrows Capital in 2022. DCG noted that Three Arrows Capital was one of Genesis's largest borrowers.
DCG requests the court to order Genesis Global Capital to pay it more than $105 million plus interest.
