Genesis Global Capital has filed a lawsuit against Digital Currency Group (DCG) and Digital Currency Group International (DCGI), demanding the repayment of multiple loans totaling over $600 million in principal.
Two related documents reveal that DCG borrowed up to $500 million from Genesis through four different loans in 2022, while DCGI borrowed 18,697.7 BTC from Genesis in 2019.
DCG and Genesis signed a master loan agreement on November 10th of last year, with the extension or regular maturity date for each 2022 loan set for May 9th or 10th, 2023. DCGI, on the other hand, signed a master loan agreement with Genesis on June 21st, 2019, extending the loan maturity date to 2023. Note that both Genesis and DCGI are subsidiaries of DCG.
As of Wednesday, DCG owes Genesis $500 million, and DCGI owes Genesis 4,550.5 BTC (valued at approximately $117 million at the time of writing). Genesis is also seeking the payment of late fees and accrued interest, claiming that these funds are “property that the debtor can use in its ongoing bankruptcy cases.”