CoinDesk, one of the most influential information platforms in the cryptocurrency ecosystem, hired the firm Lazard Ltd. to study the full or partial sale of its assets to stabilize the finances of the parent company Digital Currency Group (DCG).
“Over the past few months we have received numerous indications from people interested in buying CoinDesk,” said its CEO, Kevin Worth.
The Wall Street Journal reported that the multimedia’s board has received buyout offers of more than $200 million in recent months.
In the year 2022, CoinDesk generated some 50 million dollars from online advertising, index business, and events alone.
In other words, if the sale of CoinDesk is completed, the return on investment would triple, since in 2016 the communications company was acquired for only 500,000 dollars.
CEO of Digital Currency Group, Barry Silbert, accused of swindling
Some 340,000 cryptocurrency investors were swindled by Digital Currency Group CEO Barry Silbert, according to Cameron Winklevoss, executive director of the Gemini exchange.
This accusation comes two months after Genesis Global Trading, DCG’s lending firm, suspended customer withdrawals in the wake of the FTX collapse, Forbes reported.
Winklevoss said Silbert and his companies “defrauded” Gemini’s clients by “conspiring to make false statements about Genesis’ financial health (…) by lying, they hoped to buy time to dig themselves out of the hole they created.”
It is worth noting that the U.S. Attorney’s Office for the Eastern District of New York is investigating Digital Currency Group’s business operations.
The Securities and Exchange Commission (SEC) has also opened an investigation against Digital Currency Group, Bloomberg reported, although Silbert and his companies have not been formally charged.
Who is Barry Silbert?
Barry Silbert is a 46-year-old American businessman and CEO of the companies Digital Currency Group and Grayscale Investments.
According to Forbes, some opponents consider him a “disgraced” crypto-evangelist who first invested in bitcoin (BTC) in 2012.
Prior to his involvement with the crypto ecosystem, he was an investment banker and financial entrepreneur.
A former employee of Barry Silvert considered him to be “a cold person who didn’t even make eye contact with anyone other than the few high-level people he interacted with.”
CoinDesk was born in May 2013 as a news website specializing in bitcoin and other cryptocurrencies.
CoinDesk organizes countless industry events such as the Consensus Summit, which is attended by important figures involved in the cryptocurrency and blockchain ecosystem.
The communications company was founded by entrepreneur Shakil Khan. In 2017, under the leadership of Barry Silvert, CoinDesk acquired blockchain data and research platform Lawnmower, while in 2021 it added cryptocurrency data analytics company TradeBlock.
Last November CoinDesk reported that FTX partner firm Alameda Research held a significant portion of its assets in the FTX native token.
This news sparked a bank run and liquidity crisis at FTX, culminating in the exchange declaring bankruptcy.
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