- Gemini, Genesis Global Capital LLC (Genesis), and Digital Currency Group reached an agreement over the Earn Program.
- The agreement will allow users of the Earn program to access their funds that have been in limbo for months.
- Under the agreement, Gemini has committed to contributing $100 million more toward its Earn users.
Gemini, Genesis, and DCG Reach Agreement Over Earn Program
Users of Gemini’s Earn program heaved a collective sigh of relief as Gemini, Genesis Global Capital (Genesis), and Digital Currency Group reached an agreement over the Earn Program. The agreement will give users access to funds that have been in limbo for months as Gemini and Genesis wrangled with one another.
Details Of The Agreement
According to one of the lawyers representing the debtors, all parties involved agreed to the deal in principle and were working on finishing the term sheet. Under the agreement, Gemini has committed to contributing $100 million more toward its Earn users. Additionally, Digital Currency Group will also exchange its existing $1.1 billion note which is due in 2032, in exchange for convertible preferred stock. It will also look to refinance its existing 2023 term loans in two tranches payable to creditors with an aggregate total value of $500 million.
Background On Gemini-Genesis Spat
Gemini and Genesis have both been locked in a bitter public spat over the former’s Gemini Earn program which allowed users to deposit their crypto assets and earn a yield ranging anywhere between 0.45% and 8%.
Reaction From Co-Founder Of Exchange
The announcement was met with enthusiasm from Cameron Winklevoss, co-founder of the Gemini exchange who tweeted “Today @Gemini reached an agreement in principle with Genesis Global Capital LLC (Genesis), @DCGco…”