Cryptocurrency group Digital Currency Group (DCG) reported a loss of $1.1 billion last year as it struggled with plunging cryptocurrency prices and the restructuring of lending platform Genesis.
In its fourth-quarter investor report, DCG said that “in addition to the negative impact of falling BTC and crypto asset prices, last year’s results also reflected the impact of the default on Genesis by Three Arrows Capital (TAC).” From a balance sheet perspective, as of December 31, 2022, DCG held total assets of $5.3 billion.
This includes $262 million in cash and cash equivalents and tokens, shares in the Grayscale Trust, venture capital and fund investments of $670 million.
According to DCG, the remaining assets primarily consist of Grayscale and Foundry. A DCG spokesperson said the value of all investment assets and venture capital portfolios has been marked to market.
DCG reported a loss of $24 million on revenue of $143 million in the fourth quarter, the report said. Full-year consolidated revenue was $719 million.
In its annual standalone stock valuation, DCG’s stock was valued at $2.2 billion, or $27.93 per share. “This assessment is broadly in line with the sector’s share price decline of 75%-85% over the same period.”
