Gemini and DCG Executives Spat Over Frozen Funds on Genesis

Cameron Winklevoss, the CEO, and co-founder of Gemini Exchange has, with a devastated mind, written a letter to Barry Silbert, co-founder, and CEO of Digital Currency Group (DCG) regarding his inability to access customers’ funds.

Open Letter to Barry Silbert

In the open letter, Cameron Winklevoss accused DCG of being involved in what he called “bad faith stall tactics”. Having entrusted over $900 million of Earn users’ assets to Genesis, a subsidiary of DCG, it is expected that at this time when customers need their funds, they should be able to have access to it.

In November 2022, the US-based exchange started working with Genesis alongside DCG to come up with strategies that will enable users to redeem their funds from its Earn product. Up until now, Gemini has been in contact with DCG regarding customer funds but has not gotten any positive feedback.

Meanwhile, the said funds happen to be borrowed loans that DCG got from Genesis Global Capital which severely affected the Gemini loan program, Gemini Earn. Hence the need for the establishment of a creditors’ committee to recover the money from Genesis and its parent company DCG.

Unfortunately, it has become unbearable as Gemini is facing a lot of pressure from his furious customers. In the letter, he also provided Silbert with a lot of options on how to possibly resolve the issues which he has blamed entirely on Silbert. He further said DCG owed Genesis a whopping sum of $1.675 billion which was used for businesses accountable by Silbert. However, these said funds are owned by Earn users alongside other creditors.

Silbert Replies to Gemini’s Claims

In a separate Tweet, Silbert responded to Gemini claiming he did not borrow such an amount from Genesis as he has never missed any interest payment. He also mentioned that a proposal yet to be responded to was delivered to Genesis alongside its advisors on December 29.

As much as Winklevoss is willing and ready to work with Silbert, it also has to consider the voice of its users. And as such, he has given DCG till January 8, 2023, to publicly commit to cooperating with Gemini to see that all users recover their assets without further delay.