Gemini receives $100M loan from Winklevoss brothers
The exchange's co-founders are supporting the exchange.
Crypto exchange Gemini has received a loan from its co-founders, Tyler and Cameron Winklevoss, Bloomberg News reported April 10.
The Winklevoss brothers established Gemini in 2015. Tyler Winklevoss continues to serve as Gemini’s CEO, while Cameron Winklevoss serves as the company’s president.
The latest report indicates that, based on statements from multiple anonymous individuals, the brothers made a $100 million loan to the exchange.
Two individuals affirmed that the loan took place, while three individuals said that Gemini had failed to secure funding from outside investors. Neither Gemini nor the Winklevoss brothers have confirmed that the transaction took place.
Gemini has been negatively impacted by various events over the past year. The company halted withdrawals for its Earn product, offered in cooperation with Genesis, in November 2022 following the collapse of the FTX cryptocurrency exchange. The service was later discontinued entirely, and the process of returning funds to users is still ongoing.
Gemini also contributed $100 million in February in order to help Gemini Earn users recover their lost funds. Though Cameron Winklevoss announced that funding decision, it is unclear whether the amount was allocated from personal or corporate funds.
The company has also laid off a substantial portion of its staff. The company cut 10%, 15%, and 10% of its staff over an eight-month period ending January 2023.