• Cameron Winklevoss, CEO of Gemini, has accused Digital Currency Group (DCG) of misrepresentation and demanded the resignation of CEO Barry Silbert.
• Winklevoss claims that DCG orchestrated a „campaign of lies“ to deceive Gemini and Earn users, and believes there is no path forward with Silbert in charge.
• DCG responded to Winklevoss’s claims, stating that they did not borrow $1.675 billion from Genesis, and are current on all loans outstanding.
A dispute has arisen between Gemini, the digital currency exchange co-founded by Cameron Winklevoss, and Digital Currency Group (DCG), a venture capital firm specializing in digital currencies. The dispute centres around a now-defunct crypto hedge fund, Three Arrows Capital (3AC), which was founded by DCG and had a tumultuous relationship with Gemini.
The rift between the two entities began when Cameron Winklevoss, CEO of Gemini, published an open letter addressed to the board members of DCG. In the letter, Winklevoss accuses DCG and CEO Barry Silbert of making poor decisions with 3AC and claims that DCG orchestrated a „campaign of lies“ in order to deceive Gemini and Earn users into believing that everything was fine. Winklevoss then demanded that the DCG board remove Silbert from his role as CEO, as Gemini believes „there is no path forward“ with Silbert in charge.
DCG responded to Winklevoss’s claims in a statement, stating that they did not borrow $1.675 billion from Genesis, and are current on all loans outstanding. They also pointed out that the next loan maturity is May 2023. Despite this, Winklevoss continued to call on Silbert and DCG to take action, and set a deadline for DCG to respond by Jan. 8, 2023. It is unclear whether any agreements have been reached between the two entities, leaving the dispute unresolved.
As the rift between Gemini and DCG continues, the future of 3AC remains uncertain. 3AC was founded in 2018 to invest in the cryptocurrency space, but failed to gain traction and has since been shuttered. Both parties have accused each other of misrepresentation and unethical practices, but it remains to be seen how the dispute will be resolved. With no resolution in sight, the dispute between Gemini and DCG remains an ongoing issue in the digital currency space.