Times are tough for Gemini. After a particularly public scuffle with Genesis, the platform is in financial difficulty. And the Winklevoss brothers would not have succeeded in finding an investor, if one believes a personal loan which would have been granted to the company. What’s going on at Gemini?
The Winklevoss brothers make a substantial loan to their own Gemini platform
The news was reported by Bloomberg, who interviewed sources familiar with the matter. According to the latter, the Winklevoss brothers had to look into their own pockets to bail out a Gemini platform in great difficulty lately. These would be $100 million allegedly loaned to the company.
Gemini would have tried in recent months to find external investors to bail out its coffers, but the platform would have failed, and was therefore forced to turn to the two co-founders. As a reminder, it has already carried out two waves of layoffs in June 2022 and January of this year.
👉Discover the best cryptocurrencies of the moment
The best way to secure your cryptocurrencies 🔒
🔥 Up to $30 in Bitcoin offered!
Will Gemini manage to climb the slope?
Gemini is one of the collateral victims of the FTX affair. His partnership with the late Genesis indeed cost him the substantial sum of 765 million dollars, which were not returned. The sum of 100 million dollars lent by the Winklevoss brothers is therefore only part of the losses which the company had to face.
Other signs indicate that Gemini is floundering. The Securities and Exchange Commission (SEC), currently campaigning against all crypto-related platforms, has filed a lawsuit against Genesis and Gemini. Both companies are accused failing to comply with federal securities laws.
Times are therefore particularly tough for platforms established in the United States, which are suffering the ramifications of the fall of FTX on the one hand, and on the other a regulatory framework that has become very hostile. Will Gemini survive it? That will partially depend on the Winklevoss’ ability to get her back to life.
👉 Listen to this article and all other crypto news on Spotify
Our service dedicated to cryptocurrency investors. Get real-time analytics and optimize your crypto portfolio.
Source: Bloomberg
Newsletter 🍞
Receive a summary of crypto news every Monday by email 👌
What you need to know about affiliate links. This page presents assets, products or services relating to investments. Some links in this article are affiliated. This means that if you buy a product or register on a site from this article, our partner pays us a commission. This allows us to continue to offer you original and useful content. There is no impact on you and you can even get a bonus by using our links.
Investments in cryptocurrencies are risky. Cryptoast is not responsible for the quality of the products or services presented on this page and could not be held responsible, directly or indirectly, for any damage or loss caused following the use of a good or service highlighted in this article. Investments related to crypto-assets are risky by nature, readers should do their own research before taking any action and only invest within the limits of their financial capabilities. This article does not constitute investment advice.
AMF recommendations. There is no guaranteed high return, a product with high return potential involves high risk. This risk-taking must be in line with your project, your investment horizon and your ability to lose part of this savings. Do not invest if you are not ready to lose all or part of your capital.
To go further, read our Financial Situation, Media Transparency and Legal Notices pages.
Journalist at Cryptoast, I fell into the pot of cryptocurrencies a few years ago. I am passionate about the innovative technologies that stem from the blockchain and I like to find the most crispy information to share with you.
Marine Debelloir
2364 items
;Resize=(1200,627)&hash=e5a1d2c6cf9f27c64c2dddfff0bdbd9b9b5e400994275e9f86bf75c1d8fc5bff "ICE ticket for 14.30 euros – this is how you secure a 20 percent “Friends discount” with Deutsche Bahn")
