Bitcoin Magazine CEO Accuses DCG Founder of Using Client Funds to Manipulate GBTC Price

Odaily News Bitcoin Magazine CEO David Bailey posted an article on the X platform accusing Barry Silbert, founder and CEO of Grayscale parent company DCG, of criminal conduct. Bailey alleges that Silbert borrowed customer deposits to manipulate and prop up the price of GBTC in order to use it as collateral. He also borrowed bitcoin from Genesis users knowing that his company was insolvent, which is a criminal act. Bailey claims that Silbert spent as much as $500 million in 2022 to maintain the price of GBTC, especially during the collapse of Do Kwons Terra/Luna. Silbert allegedly spent $300 million in funds borrowed from Genesis in mid-May 2022 when Terra/Luna collapsed. (Protos)