Hey folks! According to a recent crypto update, Gemini, a popular cryptocurrency exchange, feuds with DCG (Digital Currency Group) and discontinues its Earn program.
In addition, Crypto.com plans to delist the most popular stablecoin, USDT.
Read on!
Gemini Terminates Its Earn Program
If you have been in the crypto space for a while, then you are probably aware of the Gemini Earn program scandal that broke out late last year.
That was after Genesis Global Capital, LLC (Genesis) froze withdrawals of users’ funds on November 16, 2022.
Note that Genesis is a lending partner of the Gemini Earn program.
At the time, there were reports that Genesis had lost $7 million due to extreme market volatility.
This loss comes on top of a $175 million loss the company suffered from the FTX debacle.
Phew! The impact of the FTX crash and its contagions cannot be overstated.
Following the series of losses, Genesis was forced to suspend withdrawals, resulting in Gemini Earn users’ inability to withdraw funds.
In a recent update, Gemini president Cameron Winklevoss issued a formal open letter to Genesis and its parent company, DCG (Digital Currency Group), on Twitter.
The letter highlights the shady activities of Genesis and DCG and calls for the resignation of Barry Silbert, the CEO of DCG, resulting in a feud on Twitter.
Users of Gemini Earn were shocked when, moments into the feud, they were notified that the Earn program had been terminated.
Note that Genesis owes a total of $900 million to Gemini earn users and that the wind down does not affect other Gemini products and services.
And you may ask, is there any hope?
There is no resolution yet! For the time being, Earn users can only view their balances as “pending balances.”
As “hopium,” Gemini says it is working behind the scenes to ensure that user funds are returned.
Below are other exchanges that still offer the Earn program:
Crypto.com Delists USDT
Crypto.com, one of the world’s top exchanges, announced that it would delist USDT.
In an email sent to users, it states that USDT (Tether), the widely used stablecoin, will be delisted by the exchange on January 31, 2023.
Additionally, all users’ USDT that are already in the exchange will be automatically converted to USDC at the anticipated date.
According to reports, the exchange took this step in compliance with the instructions of the Ontario Security Commission in a bid to get licensed.
The delisting of USDT by Crypto.com only applies to Canadian users.
All other countries supported by Crypto.com will still be able to trade, deposit, and withdraw USDT on the exchange.
Some cryptocurrency enthusiasts, however, have used this as a yardstick to increase their skepticism toward the USDT.
As you might know, since the launch of the USDT, there have been speculations that it is not fully backed.
So, what do you think? Leave us a comment below and remember to share the post.
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