HomeCryptoWinklevoss of Gemini could sue Barry Silbert and Digital Currency Group

Winklevoss of Gemini could sue Barry Silbert and Digital Currency Group

Cameron Winklevoss, co-founder of crypto-exchange Gemini, has threatened to file a lawsuit against Digital Currency Group (DGC) and its CEO Barry Silbert. The lawsuit relates to the $900 million Genesis Trading owes Gemini

Winklevoss exposes himself on Twitter and threatens legal action against DGC and its CEO

In a roundup of tweets, Cameron Winklevoss, co-founder of Gemini‘s crypto-exchange, explained how the platform is acting to help its Earn users given that Genesis’ platform has filed for bankruptcy. 

This is a $900 million claim that Gemini would have against Genesis, which in fact it has failed to repay, causing great harm to the more than 340,000 Earn users and others misled by Genesis and its accomplices.

Genesis Global Capital LLC is a subsidiary of Digital Currency Group, run by its CEO Barry Silbert. It was the first company in the industry to launch an over-the-counter Bitcoin trading desk in 2013, but filed for bankruptcy protection last Thursday.

Winklevoss has threatened to take legal action against DCG and Silbert specifically if the two entities refuse to offer creditors a fair settlement. 

Winklevoss and the Genesis bankruptcy

Winklevoss also announced that Genesis Global Capital LLC (Genesis) reportedly filed for bankruptcy, and that this could be good news for credit recovery

In fact, by seeking bankruptcy court protection, Winklevoss points out that Genesis will be subject to judicial supervision and will be obligated to provide information about the machinations that led to this point. 

Not only that, the Gemini co-founder stresses that Genesis’ bankruptcy should not isolate itself from its parent company Digital Currency Group and its CEO, especially when it comes to the recovery of its Earn users’ debts. 

Genesis’ debt exceeds $3 billion

Last week, it was revealed that Genesis’ total debt to its creditors exceeds $3 billion

DCG had announced that it was considering selling venture assets to raise the funds to pay off the debt. Specifically, it was considering selling parts of DCG’s venture capital holding, which include 200 crypto-related projects with a total value of about $500 million. 

Not only that, Barry Silbert had also told shareholders that they would cut 30% of Genesis’ workforce

However, none of these maneuvers seem to have been enough to sustain the amount of debt, to the point where they had to file for bankruptcy.

Stefania Stimolo
Stefania Stimolo
Graduated in Marketing and Communication, Stefania is an explorer of innovative opportunities. She started out as a Sales Assistant for e-commerce, and in 2016 she began to develop a passion for the digital world, initially in the Network Marketing sector, where she discovered and became passionate about the ideals behind Bitcoin and Blockchain technology, which lead her to work as a copywriter and translator for ICO projects and blogs, and organize introductory courses.