Genesis bankruptcy deal offers Gemini Earn users 95-110% recovery of funds by end of 2022

Cryptocurrency lending operation Genesis and parent company Digital Currency Group say 230,000+ Gemini Earn users stand to recover 95-110% of claims under proposed bankruptcy deal.
Genesis halted withdrawals then filed for bankruptcy after blow from Three Arrows Capital collapse and FTX crypto exchange failure.
Genesis bankruptcy delayed for months by talks over contribution from DCG founder Barry Silbert.
Filing alleges Gemini not contributing financially to make own users whole.
Proposed deal would repay users partly in-kind with crypto assets; goal is to confirm plan and distribute payments by end of 2022.

coindesk.com

Relevant topic timeline:

8/29/2023

Genesis, DCG Reach Bankruptcy Deal With Unsecured Creditors, But Gemini And Customers Won’t Play Along

Digital Currency Group and its subsidiary Genesis Global have reached a tentative agreement to resolve bankruptcy issues with unsecured creditors, potentially recovering 70%-90% for creditors and 65%-90% for customers depending on the denomination of digital assets, but the deal does not include customers of its investment program or former partner Gemini.

8/30/2023

Gemini Opposes Genesis Bankruptcy Plan: 'Woefully Light on Specifics'

Crypto exchange Gemini and a group of ad hoc creditors have raised objections to Genesis' proposed resolution for its bankruptcy, citing a lack of detail and assurances for debtors, as well as inadequate economic consideration, while calling for an end to the exclusivity period for negotiations.

9/15/2023

Gemini Slams Genesis Bankruptcy Plan, Says Users Won't Recover Lost Funds

Crypto exchange Gemini has criticized a proposed bankruptcy recovery plan for Genesis, calling it misleading and deceptive, stating that Gemini Earn users will not recover the real value of the money they’re owed.

9/17/2023

Gemini Disputes Digital Currency Group's Bankruptcy Recovery Plan, Says Lenders Won't Recover Assets Owed

Digital asset exchange Gemini accuses Digital Currency Group of using deceptive practices to avoid repaying its obligations to the creditors of Genesis, its bankrupt crypto lending unit.

9/27/2023

Winklevoss Twins Withdrew $280 Million From Crypto Firm Months Before Its Collapse

Gemini co-founders Cameron and Tyler Winklevoss secretly withdrew over $280 million from the crypto company's bank shortly before its collapse, leaving customers unable to access their deposits, raising questions about what they knew and potentially undermining their claims in a pending lawsuit against Digital Currency Group owner Barry Silbert.

9/28/2023

Gemini Withdrew $282M From Genesis Before Collapse to Protect User Assets

Cryptocurrency exchange Gemini has responded to allegations that the Winklevoss twins withdrew $282 million from Genesis Global Capital, stating that the funds were from its Earn users and not their own personal or corporate funds.

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Posted 9/13/2023, 12:07:00 PM