Genesis sues DCG for failing to pay over $600 million in loans

ChainCatcher news, Genesis Global Capital has filed a lawsuit against Digital Currency Group (DCG) and Digital Currency Group International (DCGI), demanding repayment of multiple loans totaling over $600 million in principal.

According to two documents submitted to the Southern District of New York bankruptcy court on Thursday, DCG borrowed up to $500 million from Genesis through four loans in 2022, while DCGI borrowed 18,697.7 bitcoins in 2019. DCG and Genesis signed a master loan agreement on November 10 last year, with the maturity dates of several loans in 2022 extended to May 9 or 10, 2023. DCGI entered into a master loan agreement with Genesis on June 21, 2019, extending the loan maturity date to May 11, 2023.

As of Wednesday, DCG owes Genesis $500 million, while DCGI owes Genesis 4,550.5 bitcoins (currently valued at approximately $117 million). Genesis is also seeking late fees and accrued interest.