DLTx Cloud unaffected by Genesis lending suspension

17 Nov 2022 08:58 CET

DLTx has been a client of Genesis Global Capital, LLC (Genesis) since August
2021. Our relationship with Genesis involved the borrowing and repayment of
Filecoin (FIL) within DLTx Cloud, our Decentralized Storage Business.

DLTx management is aware of Genesis’ decision, announced this morning, that the
company is suspending its token and other lending activities until further
notice. While DLTx is supportive of our vendor during the difficulties of the
current market, our production and operations are unaffected by this
development. DLTx has arranged additional sources of the FIL tokens and are not
solely dependent on any single FIL provider to fuel our continuing growth.

DLTx’s approach to risk management includes the securing of multiple sources of
token and fiat funding such that we avoid single points of failure in the
sourcing of this capital. We will continue to practice this discipline and are
always seeking new parties to join our network as vendors and partners of
capital.

David Johnston, CSO of DLTx stated: “Genesis has been a trusted partner during
DLTx’ early years and we are disheartened to learn of their troubles. We hope
they are able to right the ship soon. As much as Genesis has served our needs,
we work hard to avoid single sources for the inputs we need to operate our
business.”

He continued, “The DLTx team is resolute in our belief that Filecoin will play a
large role in the future of Web3, as the protocol offers a solid alternative to
incumbents, such as AWS.”

At DLTx, we keep our focus on the future, but never lose sight of the fact that
markets move, and downside risk must be managed with equal attention. This has
not and will not change.

Published on the DLTx blog 16 November 2022 - https://www.dltx.com/blog

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