Digital Currency Group has submitted a formal complaint to the New York Attorney General regarding the settlement deal between the AG’s office and bankrupt crypto lender Genesis. Although the agreement has been reached, it still awaits approval from the bankruptcy court. As per the proposed settlement, Genesis would halt all current and future operations in New York. For further details, refer to the article titled “Genesis agrees to settle case brought by New York attorney general.” The parent company of the bankrupt lender, DCG, claims that Genesis is unlawfully taking assets from less affluent individuals and giving them to favored creditors, going against the principle of absolute priority. DCG asserts in legal filings submitted to the bankruptcy court that, should the Chapter 11 plan not be approved in its current form, the agreement with the NYAG would still enable unsecured creditors to receive the full value of their claims by the distribution date. Earlier this month, DCG raised concerns about the bankrupt lender’s plan, arguing that it shows preferential treatment to certain creditors. DCG states that under the current plan, creditors are paid based on the distribution date rather than the petition date. The second option would be determined using prices from January 2023. DCG states that it is necessary as per the Bankruptcy Code. Genesis has received court authorization to sell its $1.6 billion worth of shares in Grayscale.