Grayscale's $33 billion IPO ambitions are under threat due to legal challenges stemming from the collapse of Genesis Global Capital. The Genesis Litigation Oversight Committee has initiated lawsuits in Delaware and New York, accusing Barry Silbert and Digital Currency Group (DCG) of mismanagement and misuse of creditor funds. In response, DCG has filed motions to dismiss the lawsuits, asserting that it acted in good faith amid a market downturn. Additionally, the SEC has imposed fines on DCG and former Genesis CEO Michael Moro for allegedly misleading investors about the financial health of the company. These legal and regulatory hurdles pose significant risks to Grayscale's IPO plans.