{"id":155515,"date":"2023-09-14T05:26:30","date_gmt":"2023-09-13T23:56:30","guid":{"rendered":"https:\/\/dripp.zone\/news\/?p=155515"},"modified":"2023-09-14T05:26:30","modified_gmt":"2023-09-13T23:56:30","slug":"gemini-earn-users-could-recover-all-funds-in-new-dcg-remuneration-scheme-crypto-news","status":"publish","type":"post","link":"https:\/\/dripp.zone\/news\/gemini-earn-users-could-recover-all-funds-in-new-dcg-remuneration-scheme-crypto-news\/","title":{"rendered":"Gemini Earn users could recover all funds in new DCG remuneration scheme – Crypto News"},"content":{"rendered":"
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Digital Currency Group (DCG) has proposed a new agreement plan for the creditors of the now-bankrupt Genesis Global that would also see Gemini Earn users recover nearly all of their claims.<\/p>\n

In a new filing<\/a> on Sept. 13, DCG outlined a plan that estimates \u201cunsecured creditors a 70\u201390% recovery with a meaningful portion of the recovery in digital currencies.\u201d<\/p>\n

Additionally, the remuneration plan says the recovery of claims for Gemini Earn users would be projected at \u201capproximately 95\u2013110%\u201d without any contribution from Gemini. <\/p>\n

The firm states in the filing that: <\/p>\n

\u201cIf Gemini were to agree to provide $100 million to Gemini Earn users under the Proposed Agreement, as it previously did, there would be little doubt Gemini Earn users would receive more than full recovery.\u201d<\/p><\/blockquote>\n

Gemini Earn was a service implemented by the cryptocurrency exchange Gemini with financing from Genesis. Users were then affected by Genesis\u2019 bankruptcy protection filing and withdrawal freeze<\/a>.\u00a0<\/p>\n

Genesis\u2019 initial bankruptcy filing<\/a> occurred in January 2023, after the withdrawal suspension which was a domino effect of a massive liquidity crisis in November 2022. Reportedly, the company owed over $3.5 billion<\/a> to its top creditors, which includes Gemini. <\/p>\n

This is the second agreement in principle submitted in the case. The previous proposal from DCG filed on Aug. 29<\/a> offered DCG equity.<\/p>\n

Related: <\/u><\/em><\/strong>Gemini files brief in lawsuit against SEC, requests to keep it simple<\/em><\/strong><\/a><\/p>\n

A day after the first proposal was submitted, Genesis lenders called the agreement<\/a> \u2018wholly insufficient\u2019 in an update.\u00a0<\/p>\n

The lenders claimed that the debtors, along with Genesis\u2019 unsecured creditors are \u201cunwilling to comply with their fiduciary obligations\u201d to maximize creditor recoveries. <\/p>\n

A week later, Genesis opened a lawsuit<\/a> against its parent company DCG and its other affiliate DCG Investments on Sept. 6 for defaulted loans worth around $600 million.<\/p>\n

On Sept. 5 Genesis Global Trading announced that it plans to eliminate its crypto spot trading service<\/a> starting from Sept. 18. <\/p>\n

Collect this article as an NFT<\/a><\/em><\/strong> to preserve this moment in history and show your support for independent journalism in the crypto space.<\/em><\/em><\/p>\n

Magazine: <\/em><\/strong>Deposit risk: What do crypto exchanges really do with your money?<\/em><\/strong><\/a><\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

Digital Currency Group (DCG) has proposed a new agreement plan for the creditors of the now-bankrupt Genesis Global that would also see Gemini Earn users recover nearly all of their claims. In a new filing on Sept. 13, DCG outlined a plan that estimates \u201cunsecured creditors a 70\u201390% recovery with a meaningful portion of the […]<\/p>\n","protected":false},"author":2,"featured_media":155516,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[235,203,210,234,231,232,237,238,236,233],"class_list":["post-155515","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-blockchain","tag-bitcoin","tag-crypto-currency","tag-elon-musk","tag-ethereum","tag-hyperledger","tag-ibm","tag-mining","tag-nodes","tag-spacex","tag-tesla"],"_links":{"self":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/155515","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/comments?post=155515"}],"version-history":[{"count":2,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/155515\/revisions"}],"predecessor-version":[{"id":155518,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/155515\/revisions\/155518"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/media\/155516"}],"wp:attachment":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/media?parent=155515"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/categories?post=155515"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/tags?post=155515"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}