Cryptocurrency news site CoinDesk is considering selling part or all of its business to boost growth amid the difficult times of parent company Digital Currency Group (DCG).
According to confirmation from CoinDesk itself, the reputable news platform is looking to the support of consulting service Lazard, a company specializing in mergers, restructuring and capital strategy, in search of an acquisition. potential.
CoinDesk CEO Kevin Worth stated via email:
“Over the past few months, we have received a lot of interest in acquiring CoinDesk. Therefore, I have invited Lazard to be our financial advisor to explore different options, with the goal of attracting growth capital for the CoinDesk business. The transaction may include a partial or full sale.”
CoinDesk was acquired by Digital Currency Group in 2016 for around $500,000 to $600,000. However, the site did not disclose the current business valuation, but it is known that the site’s revenue last year could be up to $ 50 million, coming from a variety of sources including advertising, data services and organize events.
A notable sideline that can be considered as the “source” of all problems when the article investigating the health situation of Alamada Research was published by this newspaper in early November 2022 is “contact” cooperation” caused the FTX crisis to begin and spread to Genesis – Digital Currency Group.
In letter explaining the situation Current DCG CEO Barry Silbert admits 2022 is the most difficult time of his life when the crypto industry is severely affected by the chain collapse. Subsidiaries are not excluded from the association. DCG itself also faces many uncertainties, recently HQ must be closed – the department is managing $ 3.5 billion in assets and announces to Postponement of quarterly dividend payment.
Recently, DCG received the attention of Justin Sun, this person has “offered” to spend 1 billion USD to buy back the group’s assetsbut did not specify which property they wanted to buy and DCG also kept silent about the above information.
Meanwhile, another subsidiary company under DCG, Genesis Global Capital, is discuss bankruptcy terms with creditors to resolve a withdrawal block that has been going on for months. The platform is said to be debt burden of up to 3 billion USDdifficulties pile up The company had to lay off 30% of its employees earlier this month. The recent DCG/Genesis duo was charged by the US Securities and Exchange Commission with an illegal securities offering.