Digital Currency Group Settles SEC Charges for $38 Million
- Digital Currency Group (DCG) will pay $38 million to settle SEC charges.
- The charges relate to the bankrupt Genesis Global Capital lending unit.
- The SEC accused DCG of negligence and misleading investors about Genesis’s financial health.
- Three Arrows Capital defaulted on a margin call, impacting Genesis with $2.4 billion in loans.
- DCG was aware of at least a $1 billion loss due to Three Arrows Capital’s collapse.
- Former Genesis CEO Soichiro “Michael” Moro will pay a $500,000 settlement.
Digital Currency Group agreed to a $38 million settlement with the SEC over charges of negligence and misleading investors regarding its bankrupt Genesis Global Capital unit. The case involved significant financial impacts from the default of Three Arrows Capital, which had outstanding loans of $2.4 billion from Genesis.
