Winklevoss brothers provide $100 million loan to Gemini to continue supporting exchange operations
According to a report by Bloomberg, the founders of the U.S. cryptocurrency exchange Gemini, the Winklevoss brothers, attempted to seek funding from external investors without success. They had to resort to funding the exchange with $100 million from their own pockets. Gemini is also facing allegations of violating securities laws and a continued decline in market share.
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When it Rains, it Pours: Market Share Continues to Decline
In January of this year, the U.S. Securities and Exchange Commission (SEC) charged Genesis and Gemini for offering and selling unregistered securities to retail investors through Gemini Earn, raising billions of dollars' worth of crypto assets from hundreds of thousands of investors. Chief Operating Officer Noah Perlman also chose to depart and later joined Binance as their Chief Legal Officer.
According to Coinmarketcap's statistics, Gemini is currently ranked 12th among global cryptocurrency spot exchanges, with a 24-hour trading volume representing only 0.3% of the top-ranked Binance. Data from research firm CryptoCompare also shows that Gemini's market share in global spot trading volume has decreased from 0.20% a year ago to 0.13%.
Nevertheless, a Creditors Committee comprised of Gemini and other creditors, acting as representatives for Earn customers, continues to regularly update the latest status of debt recovery on their website.
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