​​Gemini looks to mediation in hope of swift resolution to Ear | Global CRYPTO News

​​Gemini looks to mediation in hope of swift resolution to Earn debacle

Gemini, the crypto exchange business run by the Winklevoss twins, is hoping mediation will produce a swift resolution to negotiations with Digital Currency Group about returning funds to customers. April 28, Gemini said that DCG, DCG’s bankrupt lending arm Genesis Global, the Unsecured Creditors Committee (UCC), the Creditor Committee and Gemini itself had “agreed to start a 30-day mediation process to drive to a final resolution as soon as possible,”.

Some 340,000 customers of Gemini Earn, the now-terminated yield generating product, have been stuck in limbo since late last year after DCG’s Genesis Global paused withdrawals in November. Genesis Global later filed for Chapter 11 bankruptcy with more than $3.5 billion owed to creditors. By far the largest claim belonged to Gemini Trust Company, which was owed $766 million in funds that had been lent out through the Gemini Earn program. Gemini and DCG reached an agreement in February that would see DCG restructuring debts, as well as contributing equity in Genesis Global Trading, another unit, to its bankrupt lending arm, with Gemini contributing up to $100 million.