Winklevoss firm has been charged in US over crypto sales
Cameron and Tyler Winklevoss went from being the co-originators of Facebook deceived by Mark Zuckerberg (as dramatized in the film “The Social Network”) to early crypto adopters who became "Bitcoin billionaires." Now their firm has been charged by the United States Securities and Exchange Commission (SEC). Cryptocurrency firms Gemini and Genesis have been charged by US regulators with illegally selling crypto assets to hundreds of thousands of investors. The companies are accused of breaking the law by offering and selling the products through their joint programme, Gemini Earn, which launched in 2021. The Securities and Exchange Commission (SEC) is in charge of the case. Gemini was co-founded by twins Tyler and Cameron Winklevoss - known for their legal dispute with Facebook.
Photo: Twitter
US regulator the Securities and Exchange Commission (SEC) are suing Winklevoss Twin-owned cryptocurrency exchange Gemini and former business partner Genesis for the unregistered offer and sale of alleged securities to retail investors through the Gemini Earn lending programme.
Hey @cameron @tyler @GaryGensler @HesterPeirce @JohnEDeaton1 Can we get an update on why @Gemini was allowed to have the Earn program but @coinbase @brian_armstrong were threatened not to or they would face a lawsuit by the SEC? https://t.co/x5JAJNUH8L pic.twitter.com/iryAWQK5Vs
— Digital Asset Investor (@digitalassetbuy) January 10, 2023
Gemini initially partnered with Genesis, which is run by Digital Currency Group, for the former’s Earn programme, which gave retail investors the opportunity to earn yield by lending their digital assets to borrowers.
Heavy hitting stuff.
— Dylan LeClair 🟠 (@DylanLeClair_) January 10, 2023
Cameron Winklevoss accusing Barry Silbert on multiple counts of fraud and calls for his immediate removal as CEO of Digital Currency Group. https://t.co/2xKkLHrBoA
A public spat has since erupted between those two companies, with Cameron Winklevoss accusing Genesis of withholding nearly a billion dollars in customers’ assets after Genesis suspended withdrawals in November 2022.
9) Genesis creditors will push it into bankruptcy and take remaining dcg assets in coming days either way, they are likely demanding Barry pays back his cashouts the easy way instead of waiting for a DoJ criminal case with restitution punishments
— Zhu Su 🔺 (@zhusu) January 3, 2023
As of today, investors are still unable to withdraw their crypto assets.
7/ Oh, and on a more positive note, bitcoin hit 19k today! Onward!
— Tyler Winklevoss (@tyler) January 12, 2023