Barry Silvert. Source: capture of a video.Barry Silbert's cryptocurrency conglomerate, Digital Currency Group (DCG), is "actively participating" in talks with creditors, according to a little-known cryptocurrency exchange.
Writing in a weblog post on Tuesday, Dutch crypto exchange Bitvavo claimed that DCG has offered to pay at least seventy percent of the two hundred and eighty million euros (€XNUMX million) in outstanding debt that DCG owes to the exchange. “The residual amount is still being discussed with DCG as they are only willing to repay a portion in an admissible time frame for Bitvavo,” the weblog post states.
He added that he had rejected the proposal based on the fact that he believed that DCG "had sufficient funds for full reimbursement."
"A solution can be found"
In the blog post, Bitvavo also referenced the open letter to DCG that was published by cryptocurrency exchange Gemini, which is also a DCG creditor. Among many other things, the letter asked the DCG board to fire Barry Silbert as CEO of the company.
"Like Gemini, we share the confidence that a solution can be found to the satisfaction of all concerned," Bitvavo wrote in reference to the letter, which was posted on Twitter by Gemini co-founder Cameron Winklevoss. .
Repayment possible even in case of bankruptcy
Bitvavo added in its update that it believes that payment of the amount owed by DCG can still be made even if DCG's subsidiary, Genesis Global, files for Chapter XNUMX bankruptcy.
Ruin has been suggested as a possibility by major outlets like the Wall Street Journal, given the solvency issues the crypto lender faces. As of November, Genesis had close to €XNUMX billion in outstanding loans in their computation.
Gemini relied on Genesis for its "Earn" program, and withdrawals from the program became impossible after Genesis closed redemptions for its service customers in November last year.
No impact on clients of the Bitvavo service
The Dutch crypto exchange has further assured its customers of the service that the process surrounding DCG and Genesis is not going to have any impact on .
"The current situation regarding DCG has no impact on the customers of Bitvavo's service, its platform and its services. Bitvavo guaranteed the unpaid amount and therefore accepted the risk on behalf of its customers," he wrote.
Digital Currency Group is a leading cryptocurrency conglomerate with investments in dozens of cryptocurrency-related businesses. His holdings include well-known companies such as Chainalysis, bitFlyer, BitPay, Blockstream, Ledger, Ripple, Coinbase, eToro, and Kraken, to name a few.