Among the many high-profile implosions of fintech companies in the latter half of 2022, crypto exchange Genesis halted withdrawals by its users in November, with the ensuing drama extending to encompass entities including parent company Digital Currency Group and formerly partnered crypto firm Gemini. Pursuant to the bankruptcy filing by Genesis in January 2023, an event Genesis attributed to the earlier FTX collapse, creditors have struggled to find a path to repayment of their assets.
Fortunately for investors, there seems to have been progress made in that repayment process. According to Cameron Winklevoss, Co-Founder of Gemini, a $100 million agreement was formalized in an announcement in bankruptcy court on February 6, one that was intended to provide a method of repayment for users of the Gemini Earn program.
“I am grateful to the talented team at Genesis for their ongoing dedication and commitment to client service, and excited about working together to build Genesis for the future,” said Derar Islim, Genesis’ Interim CEO, in a statement on the agreement. “I also want to express my deep appreciation to all of our clients for their continued patience and loyalty as we work through a resolution for our lending business.”