DCG is comprised of several companies, including cryptocurrency publication CoinDesk and lending platform Genesis. It was the restructuring of the latter that became one of the main reasons for such significant losses of the conglomerate.
At the end of 2022, DCG had $5.3 billion of assets at its disposal, while only $262 million in cash and cash equivalents. Investment assets, which include tokens, shares of Grayscale funds, venture capital and equity investments, amounted to $670 million.
“In addition to the negative impact of falling prices of bitcoin and other assets, last year’s results reflect the impact of the Three Arrows Capital default on Genesis,” the report emphasizes.
Interestingly, DCG capitalization is only $2.2 billion. Analysts believe that this assessment coincides with the average drop in the share price of cryptocurrency companies by 75%-85% over the same period.
Earlier it was reported that DCG is selling at a significant discount some of the most liquid assets managed by Grayscale in order to meet its obligations.
Source: Bits

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