Summary
DCG and CEO Barry Silbert filed motions to dismiss in the NYAG’s case against Gemini, Genesis, DCG, and Silbert. They argued the allegations are baseless and unsupported, and that they did nothing wrong. The lawsuit was described as an attempt to find a scapegoat for losses caused by others. NYAG sought $3 billion in restitution, and Genesis announced a settlement which DCG contested.
Key Points
1. DCG and CEO Barry Silbert filed motions to dismiss in the New York Attorney General’s case against Gemini, Genesis, DCG, and Silbert, arguing that the allegations are “plainly deficient” and based on “baseless innuendo.”
2. DCG invested hundreds of millions of dollars into Genesis after Three Arrows Capital collapsed, in addition to a $1.1 billion promissory note that DCG remains committed to.
3. The NYAG initially filed the suit against the group in October of last year, accusing Gemini and Genesis of fraudulent schemes with the Gemini Earn product, and seeking $3 billion in restitution from Gemini and DCG for the alleged fraud.