Cameron Winklevoss, co-founder of the Gemini exchange, published this Monday, January 2, an open letter to Barry Silbert, CEO of Digital Currency Group (DCG), in which he demands him to deliver the funds owed to 340,000 users of the Earn loan program.
DCG suspended withdrawals from the platform 47 days ago, and the total debt with its users totals more than USD 900 million, according to Winklevoss in his letter.
In his communication, Winklevoss makes strong points against Silbert, who is also the founder of Grayscale, the manager of GBTC, the world’s largest bitcoin fund. Grayscale manages 643,000 BTC, about 40% of the BTC held by companies and governments.
Digital Currency Group (DCG) – of which you are founder and CEO – owes Genesis USD 1.675 million… You took this money – teachers’ money – for ambitious share buybacks, illiquid risky investments and kamikaze trading of Grayscale shares, all at the expense of users and for your own personal gain. The time has come to take responsibility and do the right thing.– Open letter from Cameron Winklevoss to Barry Silbert.
In response to Winklevoss, Silbert denies that there was a $1.675 million loan from Genesis to DCG, although he clarifies that DCG “has made timely payments to Genesis on the interest on the debt.”
However, Silbert does not state the amount of DCG’s debt. Digital Currency Group has been one of the companies most affected by the collapse of FTX, an event that also caused a liquidity crisis at Genesis.