News

#: Even the Winklevoss twins aren’t immune to the crypto crisis, with $900M of their customers’ money frozen in wake of FTX collapse

“: Even the Winklevoss twins aren’t immune to the crypto crisis, with $900M of their customers’ money frozen in wake of FTX collapse”

The brothers’ Gemini exchange has hired lawyers and formed a creditors committee to try to recoup funds from Genesis which froze withdrawals last month.

Add the Winklevoss twins to the growing list of crypto evangelists feeling the heat following the multi-billion dollar collapse of the FTX cryptocurrency exchange.

Cameron Winklevoss said Monday that Gemini, the crypto exchange he co-founded with his brother Tyler in 2014, has hired lawyers and formed a creditors committee to recoup funds following a report that $900 million of its customers’ money was frozen after crypto broker Genesis halted withdrawals last month due to liquidity issues. 

“Returning your funds is our highest priority and we are operating with the utmost urgency,” Cameron Winklevoss wrote in a post on Twitter.

Genesis announced on Nov. 16 that it was freezing withdrawals from a key platform as result of “unprecedented market turmoil” in the wake of the implosion of Sam Bankman-Fried’s FTX crypto empire, which filed for bankruptcy on Nov. 11. 

Genesis was the main partner of Gemini’s “earn” program, in which its retail investors received payments for allowing their crypto assets to be loaned out to others. Some $900 million of Gemini customer deposits had gotten hung up as a result, according to a person familiar with the matter. 

Genesis and its parent company, Digital Currency Group, have said they are seeking outside investment to help bolster its books and pay its customers back.

A spokesman for Genesis had no comment and a message sent to a representative of Gemini wasn’t immediately returned. 

The Winklevoss brothers were early champions of cryptocurrencies, using money they won in a legal settlement with Facebook
META,
-0.86%
and its founder Mark Zuckerberg over their role in the social media giant’s creation, to launch Gemini.

If you liked the article, do not forget to share it with your friends. Follow us on Google News too, click on the star and choose us from your favorites.

For forums sites go to Forum.BuradaBiliyorum.Com

If you want to read more News articles, you can visit our News category.

Source

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button
Close

Please allow ads on our site

Please consider supporting us by disabling your ad blocker!