Tyler and Cameron Winklevoss Facing Lawsuit Over Crypto Exchange Gemini’s Alleged Fraud
The famous identical twins, Tyler and Cameron Winklevoss, have been the subject of a lawsuit since 2004 when Facebook co-founder Mark Zuckerberg accused them of copying his idea of the social media website. And now, a class action lawsuit has been filed against them in Manhattan federal court over their cryptocurrency exchange Gemini.
Plaintiffs Brendan Picha and Max J Hastings have claimed that Gemini Trust Co. had offered investors interest rates as high as 7.4 percent to return the crypto assets they had lent.
However, investors may seek damages as the assets were not registered as securities under the US securities laws.
“Gemini has caused significant financial losses for its investors,” stated the lawsuit. “Leveraging its position as agent on behalf of its users, Gemini has been engaged in discussions with Genesis Global Capital, LLC, Digital Currency Group, Inc., and Barry Silbert (CEO of DCG) to find a resolution as soon as possible. With other creditors, a special committee was formed to coordinate their efforts and to jointly advocate for the return of your assets. We prioritize the return of your assets and treat them with the utmost urgency.”
This news comes shortly after FTX founder Sam Bankman-Fried was charged with fraud for allegedly using client deposits to cover losses in his Alameda Research hedge fund, as well as to purchase property and make political donations. Gemini has been contacted for comment.
