- Cameron Winklevoss, co-founder of Gemini Exchange, publicly announced his ‘final’ $1.47 billion offer to the Digital Currency Group (DCG) in relation to the Genesis restructuring.
- The Gemini co-founder has given DCG and its founder, Barry Silbert, until 4 pm Eastern Time on July 6 to respond, with legal action threatened for non-compliance.
Gemini Exchange co-founder Cameron Winklevoss has upped the ante in the ongoing negotiations regarding the restructuring of the financially distressed digital asset firm, Genesis. In a bold public declaration via Twitter, he has presented a ‘final’ offer, demanding that DCG founder Barry Silbert reconcile a hefty debt of $1.46 billion.
A Deadline Looms for DCG
This final offer is part of a larger picture, as Genesis disclosed in January 2023 that it owes over $3 billion to its top 50 creditors. Winklevoss notes that a substantial portion of this debt, approximately $1.2 billion, is due to earn users.
Winklevoss’s public communication was uncompromising, highlighting the critical need for timely payment of debts, notably the outstanding $630 million due since May. He also raised the issue of accrued professional fees, stating:
“In addition to dragging out a resolution, they have ballooned professional fees to over $100 million, all of which have gone to lawyers and advisors at the expense of creditors and Earn users.”
His final offer is firm and comes with an immovable deadline. A payment of $275 million must be made by July 21, and Silbert has until 4 pm Eastern Time on July 6 to respond. Should DCG or Silbert fail to meet these terms, Gemini is prepared to pursue legal action, as Winklevoss indicated a lawsuit would be filed on July 7.
In his message, Winklevoss stressed:
“This proposal is fair and reasonable for everyone and represents the floor that creditors, who are required to support a deal, will accept.”
The community response to Winklevoss’s ultimatum has been mixed, with many expressing doubt that DCG can meet the July 7 deadline. Others note that the timeline provided is indeed tight, reflecting the tense situation surrounding the restructuring of Genesis. As the clock ticks, all eyes are now on DCG and its response to this billion-dollar challenge.
