Digital Currency Group (DCG), which is a crypto-focused business, announced secondary sales in which existing investors sold a portion of their shares to newcomers. Softbank led the deal with Capitalg, Google’s private equity investment company, participating.
This confirms DCG’s importance in today’s crypto-focused world. The company’s valuation has now reached $10 billion with this latest investment round. Although the company’s name might not be immediately recognizable to some, DCG serves as the parent company of important brands within the ecosystem. These include Grayscale which is the largest cryptocurrency asset manager on the planet, and Genesis which provides cryptocurrency services for institutions.
Barry Silbert, DCG’s founder and CEO, spoke out about the sale.
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DCG will remain private
Although Coinbase and other large crypto companies have recently gone public, DCG does not seem to be interested in that path, at least not for the near future. Silbert said:
Companies often go public to increase liquidity or raise money to acquire companies. We don’t have these pressures. This is what I love about building a private company.
Silbert didn’t rule out an IPO but it is not likely due to DCG’s liquidity problems. The company is actually on track to record a revenue of over $1 billion this year.
Capitalg founder David Lawee said that this investment was made to take advantage of the flexibility DCG and the cryptocurrency world offers. Lawee believes DCG is able to adapt to new crypto trends while remaining relevant on the market for a long period of time.