Digital Currency Group: The Crypto Conglomerate Led by Barry Silbert
Barry Silbert is one of the most influential figures in the crypto world. He is the founder and CEO of Digital Currency Group (DCG), a conglomerate of five cryptocurrency-focused companies that have a combined assets under management of $50 billion as of September 2021.
DCG’s biggest revenue generator is Grayscale Investments, a digital asset manager that offers trusts and funds for investors who want exposure to Bitcoin, Ether, and other cryptocurrencies. Grayscale oversees $28 billion worth of digital assets and is the largest institutional holder of Bitcoin in the world.
DCG also owns Genesis Global Capital, a cryptocurrency trading, lending, and custody platform that targets institutional clients and high net worth individuals. Genesis claims to have been the first Bitcoin trading desk, launched in 2013. Genesis acquired Volt, a London-based cryptocurrency custodian, in early 2020.
CoinDesk, a top media outlet for crypto news and events; Foundry, a mining finance and advisory company; and Luno, a global cryptocurrency exchange and wallet provider; are DCG’s other subsidiaries.
Barry Silbert started DCG in 2015 after selling his previous company, SecondMarket, to Nasdaq for an undisclosed amount. SecondMarket was a stock trading platform that allowed investors to buy shares in private companies such as Facebook before they went public.
Silbert has been a prolific investor and supporter of crypto since then. He has backed more than 200 crypto startups through DCG and personally. Some of his notable investments include Coinbase, Ripple, BitPay, Chainalysis, Blockstream, and Circle.
Silbert has also been vocal about his views on crypto on social media and public events. He has expressed his bullishness on Bitcoin and Ethereum, his skepticism on Dogecoin and other meme coins, his criticism on central bank digital currencies (CBDCs) and stablecoins, and his optimism on decentralized finance (DeFi) and non-fungible tokens (NFTs).
However, Silbert has also faced some challenges and controversies in his crypto journey. In January 2023, Genesis Global Capital filed for Chapter 11 bankruptcy protection after suffering huge losses from the collapses of FTX exchange and hedge fund Three Arrows Capital. Genesis is a part of DCG that owes Genesis about $1.6 billion in loans.
Despite these obstacles, Silbert has also attained some notable feats in his crypto career. He was named among Fortune magazine’s ’40 Under 40′ list for wealth and success in 2016. He also founded the Bitcoin Investment Trust (BIT), the first publicly traded Bitcoin fund in the U.S.
Silbert has also been a vocal supporter for crypto adoption and innovation. He has supported initiatives such as #DropGold campaign, which encourages investors to switch from gold to Bitcoin as a store of value; Crypto Council for Innovation (CCI), which promotes collaboration and education among crypto stakeholders; and Crypto Climate Accord (CCA), which aims to make crypto industry carbon-neutral by 2030.
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