Digital Currency Group (DCG) is a venture capital firm that focuses on investing in blockchain and cryptocurrency-related companies. Founded in 2015, the company has become one of the most influential entities in the crypto space, with investments in over 160 blockchain-related companies in more than 35 countries.
But amidst all the buzz surrounding DCG, many are left wondering who exactly owns this company? In this article, we’ll take a closer look at the ownership structure of DCG and the people behind it.
Barry Silbert: The Man Behind DCG
At the helm of DCG is its founder and CEO Barry Silbert. A serial entrepreneur and investor, Silbert has been involved in the crypto industry since 2012 when he founded SecondMarket, a platform that allowed investors to trade in private company stocks including those of Facebook and Twitter. In 2014, Silbert founded the Bitcoin Investment Trust (BIT), which became the first publicly traded bitcoin investment vehicle. He then went on to found DCG in 2015.
Silbert’s vision for DCG was to create a company that could serve as a bridge between traditional finance and the new world of blockchain and cryptocurrencies. Today, DCG is a hub for some of the most innovative blockchain companies and projects in the world.
Investors in DCG
DCG is backed by some of the biggest names in venture capital and traditional finance. Among its investors are Mastercard, Bain Capital Ventures, and New York Life, to name a few.
According to Crunchbase, DCG has raised over $500 million from investors since its inception. In its most recent funding round in October 2020, the company raised $50 million from investors including Morgan Stanley, New York Life, and MassMutual Ventures.
Grayscale Investments: A Subsidiary of DCG
In addition to its investments in blockchain-related companies, DCG also owns Grayscale Investments. Grayscale is a subsidiary of DCG that is solely focused on providing cryptocurrency investment products to institutional investors.
Grayscale’s flagship product is the Grayscale Bitcoin Trust (GBTC), which allows investors to gain exposure to bitcoin without having to hold the cryptocurrency directly. GBTC has become one of the most popular ways for institutional investors to gain exposure to bitcoin and currently holds over 3% of all bitcoin in circulation.
Who Owns DCG?
While DCG has a diverse set of investors, it is still primarily owned by Barry Silbert. According to data from PitchBook, Silbert currently owns a majority stake in DCG through his personal holding company, Digital Currency Group Holdings LLC.
However, there are also several notable investors who own stakes in DCG. For example, in 2018, DCG sold a 9.9% stake in itself to a group of investors led by New York Life. Other investors included Mastercard and Bain Capital Ventures.
In addition to these investors, it’s worth noting that Grayscale Investments, the DCG subsidiary, is also partially owned by outside investors. According to a recent report by CoinDesk, Grayscale’s parent company DCG owns about 85% of the firm, while the remaining 15% is owned by outside investors.
Conclusion
Digital Currency Group is one of the most influential companies in the blockchain and cryptocurrency space, with investments in over 160 companies worldwide. While the company has a diverse group of investors, it is primarily owned by founder and CEO Barry Silbert through his personal holding company. DCG’s subsidiary, Grayscale Investments, which provides cryptocurrency investment products to institutional investors, is also partially owned by outside investors.
As the crypto industry continues to evolve and expand, it will be interesting to see how DCG and its investors navigate the ever-changing landscape. Nevertheless, with Silbert’s vision and the support of some of the biggest names in finance, it seems that DCG is well-positioned to continue leading the way in the world of blockchain and cryptocurrencies.
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