NEW DELHI: Crypto broker Genesis and its parent company Digital Currency Group (DCG) owe customers of the Winklevoss twins’ crypto exchange Gemini $900 million, the media has reported.
Gemini is trying to recover the funds after it was wrongfooted by last month’s failure of Sam Bankman-Fried’s FTX crypto group, the report said, citing people familiar with the matter.
Venture capital company Digital Currency Group, which owns Genesis Trading and cryptocurrency asset manager Grayscale, owes $575 million to Genesis’ crypto lending arm, Digital Currency chief executive Barry Silbert told shareholders last month.
Gemini, which runs a crypto lending product in partnership with Genesis, has now formed a creditors’ committee to recoup the funds from Genesis and its parent DCG, it added.
Genesis has hired investment bank Moelis & Company to explore options including a potential bankruptcy.
Visit news.dtnext.in to explore our interactive epaper!
Download the DT Next app for more exciting features!
Click here for iOS
Click here for Android