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Crypto Entrepreneur Cameron Winklevoss Calls Out Barry Silbert For Alleged Delay Tactics In Resolving $900M Debt Dispute

ByMurtuza Merchant

Jan 2, 2023
Crypto Entrepreneur Cameron Winklevoss Calls Out Barry Silbert For Alleged Delay Tactics In Resolving $900M Debt Dispute

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Cryptocurrency entrepreneur Cameron Winklevoss has accused Barry Silbert, another businessman, of using “bad faith stall tactics” in an attempt to resolve a dispute between their two companies that arose from the collapse of FTX.

Winklevoss’s company, Gemini Trust Co., had offered investors the chance to earn up to 8% interest on their digital coins by lending them to one of Silbert’s firms, Genesis Global Capital, through Digital Currency Group (DCG), Bloomberg reported.

Yet the redemptions for this product, called Earn, were suspended in November after it was revealed that $175 million was locked in an account on the bankrupt crypto exchange FTX.

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Genesis, which is also owned by Silbert’s DCG, suspended both redemptions and new loan originations at the lending unit and informed clients that it could take “weeks” to find a solution.

Winklevoss said that Genesis owes its customers $900 million and is facing pressure from customers who are unable to access their Gemini accounts and a lawsuit alleging fraud.

He said that he has provided Silbert with multiple proposals to resolve the issue, including one on Dec. 25, but Silbert has refused to meet in person or agree to a timeline with key milestones, he further said.

Winklevoss has asked Silbert to publicly commit to finding a resolution by Jan. 8, 2023, saying that time is running out and Silbert’s behavior is “completely unacceptable” and “unconscionable”.  

Winklevoss further said Genesis owes $1.68 billion to DCG, money that he says “Genesis owes to Earn users and other creditors.”

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Photo via Pixabay. 

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Image and article originally from www.benzinga.com. Read the original article here.