Gemini

Read

Gemini Trust Co., a crypto exchange, reportedly <a href="https://www.bloomberg.com/news/articles/2023-09-28/winklevoss-gemini-pulled-cash-from-crypto-lender-genesis-before-bankruptcy" data-type="link" data-id="https://www.bloomberg.com/news/articles/2023-09-28/winklevoss-gemini-pulled-cash-from-crypto-lender-genesis-before-bankruptcy" target="_blank" rel="noopener">withdrew</a> $282 million from Genesis Global Holdco LLC months before Genesis filed for bankruptcy. 
Genesis and Gemini used to work together on the Earn program. Under this initiative, Gemini allowed users to lend crypto via Genesis and earn returns. 
This partnership appeared mutually beneficial until Gemini withdrew millions from Genesis. 
 You might also like: <a href="https://crypto.news/gemini-to-invest-24m-in-india-despite-current-tax-regulation/"> Gemini to invest $24m in India despite current tax regulation </a> 
Anonymous sources disclose that Gemini withdrew approximately $282 million from Genesis to establish a financial reserve, ensuring swift access to funds for Gemini Earn users. 
Importantly, none of these funds went into the personal accounts of the Winklevoss twins, despite some speculations. 
Following the collapse of FTX, Genesis froze customer withdrawals and filed for Chapter 11 bankruptcy. 
In response, Gemini initiated a claim in bankruptcy court, advocating for a <a href="https://crypto.news/gemini-refutes-reports-about-jpmorgans-breakup-with-the-exchange/" data-type="post" data-id="14131775">$1.1 billion settlement</a> for Earn users. 
<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter">
 <div class="wp-block-embed__wrapper"> 
 <blockquote class="twitter-tweet" data-width="550" data-dnt="true">
 1/ It’s disappointing that the <a href="https://twitter.com/SECGov?ref_src=twsrc%5Etfw" target="_blank" rel="noopener">@SECGov</a> chose to file an action today as <a href="https://twitter.com/Gemini?ref_src=twsrc%5Etfw" target="_blank" rel="noopener">@Gemini</a> and other creditors are working hard together to recover funds. This action does nothing to further our efforts and help Earn users get their assets back. Their behavior is totally counterproductive.— Tyler Winklevoss (@tyler) <a href="https://twitter.com/tyler/status/1613674686646484992?ref_src=twsrc%5Etfw" target="_blank" rel="noopener">January 12, 2023</a>
 </blockquote>
 <script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script> 
 </div>
</figure> 
Negotiations for a settlement involving Genesis, Gemini, and Digital Currency Group (DCG) have been unproductive. Public disputes have erupted between DCG founder Barry Silbert and the Winklevoss twins. 
Although a tentative agreement was proposed in February, it fell apart, stalling mediation talks. 
In July, Gemini escalated the situation by filing a fraud <a href="https://crypto.news/gemini-accuses-barry-silberts-dcg-of-fraudulent-practices/" data-type="post" data-id="14195470">lawsuit</a> against DCG. 
 Read more: <a href="https://crypto.news/gemini-filed-an-opposition-to-genesiss-bankruptcy-plan/"> Gemini filed an opposition to Genesis’s bankruptcy plan </a>

Genesis went bankrupt months after Gemini reportedly withdrew $282M in crypto

crypto.news

Other articles published on Sep 28, 2023

XRP Price Prediction as XRP Trading Volume Exceeds BNB. Can XRP Top $1 Before End of 2023?

Kraken Eyes U.S.-Listed Stock and ETF Trading Launch by 2024

FTX boss to remain in prison ahead of October trial

Crypto Whales are Getting their Hands-On Shiba Budz (BUDZ)

Ripple: What Could XRP's Price Be In the Next 5 Years?

XRP Price Prediction: Are Bulls Staying Strong or Losing it?

Join our free newsletter for daily crypto updates!