Digital Currency Group (DCG) said on Tuesday some creditors of its bankrupt unit Genesis Capital have decided to walk away from a prior restructuring agreement for the cryptocurrency lender.

DCG, a conglomerate in the digital asset space, had been looking to sell Genesis to repay at least a part of the $3.4 billion it owes creditors.

In February, DCG struck a deal that could have either resulted in a sale of Genesis or turned its equity over to creditors.

Since then, some creditors have raised new demands, said DCG, which also owns crypto news website CoinDesk and digital asset manager Grayscale.

"We will weigh any new demands against the concessions we have previously made," it said.

Crypto firms, which were already under pressure after high profile failures of FTX and Silvergate, are now scrambling to find banking partners after the collapse of three crypto-friendly lenders in the U.S. last month.

  - Reuters