- This is a platform for institutional clients
- She will close operations on May 31
- Difficult market conditions
Digital Currency Group (DCG) will close its institutional trading platform TradeBlock on May 31 due to a tough market and tighter US regulatory policies.
TradeBlock is the official trade execution, pricing and brokerage service for institutional investors. Barry Silbert’s company acquired this platform in 2020.
The reason for the closure, according to management, was macroeconomic conditions and a prolonged crypto-winter. The complex digital asset management environment in the US also plays an important role.
TradeBlock was led by Brynn Madigan. She previously worked for Goldman Sachs for 15 years. And then she was vice president of Ripple for global institutional markets.
Now the crypto giant DCG is in a difficult situation. In May, they defaulted on Genesis Global’s $630 million debt. Before that, CFO Michael Crains left the company.
Creditors (DCG, Genesis Global and Gemini) are currently negotiating a debt restructuring for Genesis. Also DCG is looking for options to refinance it.
The company’s affairs are worsened by the US Securities and Exchange Commission (SEC). She accused DCG and its partners of selling unregistered securities. We are talking about the Earn program on the Gemini crypto exchange, because of which, by the way, the Genesis Global debt arose.
