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Gemini cryptocurrency exchange founder and CEO Cameron Winklevoss is once again threatening to sue Digital Currency Group and its CEO Barry Silbert over delays in resolving Genesis for its Earn clients, while accusing the CEO of allegedly trying to play the victim card .
In an “Open Letter to Barry Silbert” dated July 3, Winklevoss alleged that the DCG venture engaged in “fraudulent behavior” through a “culture of lies and deceit”, which occurred at the expense of 232,000 Earn Gemini users.
Earn Update: An Open Letter to @BarrySilbert pic.twitter.com/ErsYpcEjQD
— Cameron Winklevoss (@cameron) June 4, 2023
Among the allegations in Winklevoss’s scathing letter, it is alleged that Silbert deliberately delayed the issue through “abuse” of the mediation process, stating:
“The mediation gave DCG an indefinite grace period on the $630 million it owes Genesis – for free.”
Most disturbing, according to Winklevoss, was Silbert’s claim that he was a “victim” of the rout.
“It takes a special type of person to owe $3.3 billion to hundreds of thousands of people and believe, or at least pretend to believe, that they are some kind of victim,” Winklevoss said, adding:
Not even Sam Bankman-Fried was capable of such a delusion.”
DCG’s Genesis was a lender to the Gemini Exchange’s Earn Program, a product that promised returns of up to 8% to depositors. However, on November 16, Genesis announced a temporary suspension of withdrawals, citing “unprecedented turmoil in the market.” Genesis later filed for bankruptcy on January 19.
Genesis later filed for bankruptcy on January 19, and Gemini sought to reclaim its share of the billions that Genesis has since owed to creditors.
However, after what Winklevoss called numerous delays, he seemed to have had enough.
“I am writing to let you know that your games are over,” Winklevoss said, explaining that professional fees have now “grown” to over $100 million through loans and Earn users. “Enough is enough.”
Winklevoss gave Silbert an ultimatum: accept his firm’s “best and final offer” by 4 p.m. ET on July 6 — or face legal action on July 7.
The proposal calls for DCG to make a payment of $275 million by July 21, an additional $355 million by July 21, 2025, and a final payment of $835 million by July 21, 2028—five years after the date of the “Plan Support Agreement”. ”, proposed by Winklevoss.
The total amount of payments will be 1.47 billion dollars.
Related: Gemini and Genesis dismiss SEC lawsuit against Earn product
Winklevoss wants payments to be made in the form of Bitcoin (BTC), Ether (ETH), and United States Dollars (USD), with funds coming from Genesis Global Trading, potential payouts from FTX and Alameda Research’s bankruptcy estate in addition to Avalanche.(AVAX) and Near (NEAR), which he can claim from the bankruptcy estate of Three Arrows Capital.
Cointelegraph reached out to DCG for comment but received no immediate response.