Gemini Inaugurate Ad hoc Committee to Resolve the Freeze on Earn Product

In an attempt to help users recover trapped funds after its Earn Product halted customer redemptions on November 16, Gemini in partnership with other creditors has launched an ad hoc committee tasked with finding a favorable resolution.

According to tweets from Gemini’s co-founder, Cameron Winklevoss, the firm has contracted a law firm, Kirkland & Ellis, as counsel by the Creditor Committee for advocacy. Furthermore, Winklevoss said returning user funds is its highest priority and the platform is working with utmost urgency to achieve this.

As per an earlier report by TheCoinRise, Genesis has revealed that it owes up to $2.8 million in outstanding loans. Details from the revelations show that 30% of its lending was made to several firms including Digital Currency Group (DCG), its parent company. The loans were priced at prevailing market interest rates.

Even though it has halted withdrawal on its platform, Genesis has said it has no plans to declare bankruptcy.

Earlier in the week, the digital exchange platform announced that it was attempting to recoup the $900 million loan it made to cryptocurrency broker Genesis and its parent company, Digital Currency Group (DCG).

Gemini Scale European Expansion

Interestingly, the platform owned by Winklevoss Twins expanded its reach in the European market. The platform launched its product in six European countries including Denmark, Sweden, Portugal, Latvia, Czechia, and Liechtenstein. The service is available to both individual and institutional clients.

Alongside the same expansion, the firm also provided two interfaces tailored to the specific needs of its clients. Additionally, Gemini holds a Visual Asset Service Provider (VASP) license from the regulators in Ireland where it has chosen to set up its regional headquarters.

Recall that Cameroon Winklevoss stepped down as a Board Director in the company’s Europe division in October to now focus on the exchange’s global lead alongside his twin brother Tyler Winklevoss.

In response to the prolonged crypto winter, Gemini was one of the first crypto firms to downsize its workforce. The platform axed as much as 7% of its employees as a cost-cutting measure in July.