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Gemini Founder: DCG Owes Genesis $1.6 Billion in Debt, Maliciously Delaying and Passing the Burden to Gemini Users

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Gemini Founder: DCG Owes Genesis $1.6 Billion in Debt, Maliciously Delaying and Passing the Burden to Gemini Users

Previously, Gemini exchange was forced to halt redemptions of its products due to issues with the solvency of Genesis (a subsidiary of DCG). Today, co-founder of the exchange, Cameron Winklevoss, posted an open letter to DCG founder, Barry Silbert, on Twitter.

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Previously, Gemini exchange was forced to halt redemptions due to debt issues with Genesis (a subsidiary of DCG). Co-founder of the exchange, Cameron Winklevoss, posted an open letter to DCG founder Barry Silbert on Twitter today.

In the letter, Cameron Winklevoss stated that Gemini had been willing to work with Genesis to help protect its business and repay the $900 million debt owed to Gemini. However, DCG founder Barry Silbert allegedly hid behind lawyers and investment bankers, used processes as excuses, maliciously delayed initiating bankruptcy reorganization, and refused to sit down with Gemini to discuss solutions.

"It is clear now that you have been using a strategy of malicious delay."

Additionally, Cameron Winklevoss accused DCG of owing Genesis $1.675 billion in debt and criticized Barry Silbert for creating the current situation while expecting Gemini exchange users to bear the consequences. In the letter's conclusion, Cameron Winklevoss requested Barry Silbert to publicly commit to working together to propose a solution by January 8, 2023.

Shortly after, Barry Silbert commented under Cameron Winklevoss' tweet, stating that DCG did not borrow $1.675 billion from Genesis, and DCG had never delayed interest payments owed to Genesis, with all outstanding loans being repaid on time.

Furthermore, Barry Silbert countered by stating that DCG had sent a proposal on December 29 to Genesis and its advisors to resolve the issue, but had not received any response to date.

Subsequently, Cameron Winklevoss responded to Barry Silbert again:

"Here you go again. Stop pretending that you and DCG are innocent bystanders, detached from this mess. It's completely disingenuous. If DCG didn't borrow that money, how could it owe Genesis $1.675 billion? Oh right, that promissory note. Are you willing to resolve this issue by January 8 and treat the $1.1 billion promissory note as $1.1 billion?"