Digital Currency Group (DCG) has been charged and fined $38 million by the Securities Exchange Commission (SEC) for lending fraud by its subsidiary Genesis. Note: Genesis is a cryptocurrency lending platform owned by DCG and was once one of the largest institutional lending services in the crypto industry. The collapse of cryptocurrency trading platform FTX in November 2022 exacerbated market turmoil. Genesis suspended customer withdrawals during this period and filed for bankruptcy protection in January 2023. Assets and liabilities were valued between 1 billion and 10 billion dollars. According to the SEC investigation, Genesis and DCG were accused of covering up financial losses through false statements involving more than 230,000 investors and a total amount of more than 1 billion dollars.