DCG sells $22M worth of Grayscale shares to raise funds
Leading asset management firm Digital Currency Group (DCG) has reportedly sold some of its shares in Grayscale crypto trusts — raising roughly $22 million, according to the Financial Times (FT).
DCG has been caught up in a series of financial crises following the bankruptcy of its trading arm-Genesis. The firm reportedly owes over $3 billion to its creditors, including about $900 million to Gemini Earn users.
DCG set to continue offloading assets
To raise more funds to support its bankrupt subsidiary, DCG has reportedly moved to sell some assets in its $500 million portfolio — including its news outlet CoinDesk.
DCG has also submitted filings to the US Securities and Exchange Commission (SEC), revealing its deals to sell some of its shares in Grayscale, FT reported on Feb. 7.
DCG started selling its shares in Grayscale on Jan. 24, with a focus on the Ethereum Fund, according to the report. DCG sold the Grayscale Ethereum shares at $8 per share — raising approximately $22 million. The share price has declined by over 50% from its initial claim of $16 per ETH.
DCG also sold some smaller shares in its Litecoin Trust, Bitcoin Cash Trust, Ethereum Classic Trust, and Digital Large Cap Fund.
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