DCG and Gemini feud escalates with public spat

GB Market Commentary 011/01/2023

by Marcus Sotiriou

After Cameron Winklevoss, President of Gemini, demanded Digital Currency Group CEO Barry Silbert to be removed in a public letter, an argument escalated over Gemini’s Earn users. Cameron Winklevoss said:

"I'm writing to let you know that Gemini and more than 340,000 Earn users have been defrauded by Genesis Global Capital LLC, together with its parent company Digital Currency Group."

Cameron alleges that Genesis deceived Gemini and its Earn users about the company's financial position, especially regarding Genesis’s involvement with the 3AC collapse.

DCG responded by saying:

"This is another desperate and unconstructive publicity stunt from Cameron to deflect blame from himself and Gemini, who are solely responsible for operating Gemini Earn and marketing the program to its customers."

After dismissing Cameron’s claims as “desperate” and “unconstructive” he said he would continue to "engage in productive dialogue with Genesis and its creditors with the goal of arriving at a solution that works for all parties."

If the situation escalates further, a lawsuit would be the next step. In my opinion, DCG should accept the Creditor Committee terms as soon as possible to avoid more pain for retail investors.