TechFlow reported on October 20 that Digital Currency Group (DCG) issued a statement on X in response to the lawsuit filed by the New York Attorney General. DCG stated it has always operated legally and in good faith, and over recent months has cooperated openly and transparently with the New York Attorney General's investigation. It expressed surprise at the lawsuit, emphasizing there is no evidence that DCG, Barry Silbert, or any DCG employees engaged in misconduct.
Barry Silbert, founder and CEO of DCG, also released a statement expressing shock at the baseless allegations made by the New York prosecutor, and announced plans to vigorously defend against the claims in court. He emphasized his long-standing commitment to integrity, noting that both he and DCG spent much of last year working to help Genesis recover from the turmoil caused by the collapse of Three Arrows Capital and positioning it for future success. This fundamental context, he said, was entirely ignored in the lawsuit.
Earlier, New York Attorney General Letitia James filed a lawsuit against cryptocurrency exchange Gemini, crypto lending firm Genesis, its parent company DCG, and two executives—Michael Moro, former CEO of Genesis, and Barry Silbert, CEO of DCG. The complaint alleges these entities defrauded more than 230,000 investors, including at least 29,000 New York residents, by attempting to conceal over $1 billion in losses.
