Digital Currency Group, Barry Silbert file motions to dismiss 'baseless' NYAG lawsuits
Quick Take
- Digital Currency Group filed a motion to dismiss a lawsuit from the New York Attorney General.
- Barry Silbert filed a motion to dismiss the NYAG’s accusation that he concealed losses.
Digital Currency Group filed a motion today to dismiss a lawsuit from New York Attorney General Letitia James against it and its subsidiary Genesis Global Capital.
The lawsuit was filed in October 2023 before being expanded last month.
Barry Silbert, the founder and CEO of DCG, additionally filed a motion to dismiss the NYAG's accusation that he concealed losses at both firms.
The NYAG alleges that the defendents defrauded investors connected to crypto exchange Gemini's former Earn product and Genesis out of $3 billion after the collapse of crypto firm Three Arrows Capital and crypto exchange FTX.
"Today, DCG and Barry Silbert filed motions to dismiss the meritless civil complaint filed by the New York Attorney General against Gemini, Genesis, and DCG," the firm said in a statement, adding: "As we have stated from the beginning, the allegations are a thin web of baseless innuendo, blatant mischaracterizations, and unsupported conclusory statements."
The new filings follow a proposed settlement deal from Genesis with the NYAG last month, which DCG objected to.
Disclaimer: The Block is an independent media outlet that delivers news, research, and data. As of November 2023, Foresight Ventures is a majority investor of The Block. Foresight Ventures invests in other companies in the crypto space. Crypto exchange Bitget is an anchor LP for Foresight Ventures. The Block continues to operate independently to deliver objective, impactful, and timely information about the crypto industry. Here are our current financial disclosures.
© 2023 The Block. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
