• Gemini, the crypto exchange owned by the Winklevoss twins, has terminated its crypto yield product, Gemini Earn, which had been in operation for nearly two years.
• This move requires Genesis Global Trading, Gemini’s partner in the program, to return all assets locked up in the program.
• The termination of the master loan agreement between Gemini’s customers and Genesis has escalated the dispute between the two companies.
Gemini, the crypto exchange founded by the Winklevoss twins, has recently ramped up its battle with Genesis Global Trading, a subsidiary of Digital Currency Group, with the termination of its crypto yield product, Gemini Earn. The move, which is set to take effect immediately, requires Genesis to return all assets that are currently locked up in the program.
Gemini informed its customers of the termination through an email sent out on Tuesday. Within the email, the company stated that this would officially terminate the Earn Program, and that any existing redemption requests would not be impacted. The email also stipulated that Genesis should fulfill any remaining requests as soon as possible.
In response to Gemini’s decision, Genesis released a statement expressing its disappointment. The statement noted that the whole process is complex and would take a bit of time to fully execute. However, the company did reiterate its commitment to ensuring a smooth transition for all of its customers and partners.
The termination of the master loan agreement between Gemini’s customers and Genesis marks a new chapter in the dispute between the two companies, which had been working together on the crypto lending product since 2019. The program had been advertised as a way for smaller investors to earn yield on their crypto assets, and had been operating successfully for nearly two years.
The exact reason for the sudden termination of the program remains unclear. However, it is likely that the move was spurred by the increasing competition in the industry, as more and more exchanges attempt to offer similar services. With the termination of Gemini Earn, the Winklevoss twins are now focusing their efforts on other areas of their business, such as custody and trading, in order to remain competitive in the space.
It remains to be seen how this decision will impact the ongoing relationship between Gemini and Genesis. Nevertheless, both companies are committed to ensuring a smooth transition and protecting the interests of their customers.