Gemini Earn returns over $2 billion in crypto, triggering concerns of sell pressure


Crypto
exchange

Gemini
said
users
of
its
now-defunct
Earn
product
received

$2.18
billion
of
their
digital
assets,
according
to
a
May
29
statement.

These
distributions
amount
to
97%
of
the
total
digital
assets
owed
to
Earn
users,
marking
a
significant
recovery
since
the
collapse
of
crypto
lender
Genesis,
which
halted
withdrawals
in
November
2022.

In-kind
distribution

The
exchange
explained
that
the
assets
were

returned
in
kind,
meaning
that
if
a
user
lent
one

Bitcoin
to
the
Earn
program,
they
received
one
BTC
back.
This
would
represent
a
232%
recovery
for
Earn
users,
as
the
value
of
several
digital
assets
has
significantly
increased
compared
to
two
years
ago.

How To Get Free Crypto  

Gemini’s
founders,
Cameron
and
Tyler
Winklevoss,
highlighted
the
significance
of
this
recovery,
stating:

“This
represents
an
unprecedented
recovery
among
crypto
bankruptcies,
as
well
as
bankruptcies
in
general,
and
follows
our
previous
announcement
that
we
reached
a
settlement
in
principle
with
Genesis
and
other
creditors
in
the
Genesis
Bankruptcy,
which
will
result
in
all
Earn
users
receiving
100%
of
their
digital
assets
back
in
kind.”

Meanwhile,
Gemini
stressed
that

Genesis’s
bankruptcy
was
not
a
result
of
issues
within
the
crypto
industry
but
stemmed
from
“old-fashioned
financial
fraud
compounded
by
a
lack
of

regulatory
clarity”
in
the
US.

So,
the
company
emphasized
its
commitment
to
advocating
for
better
regulatory
measures
to
support
the
industry.
It
stated:

“We
will
continue
to
fight
for
clear
rules
and
guidance
for
our
industry
that
foster
both
innovation
and
consumer
protection.
And
we
will
win
this
fight.
The
future
is
bright.”

Selling
pressure
ahead?

Industry
analysts
warn
that
in-kind
distributions
could
cause
substantial
selling
pressure
as
creditors
liquidate
their
assets.

Evan
Cohen,
a
thesis
investor,

noted:

“Lots
of
sellers
[are]
now
ready
to
unload
their
2-year
locked-up
crypto.”

This
increased
trading
activity
may
affect
Bitcoin
and

Ethereum
prices.

CryptoSlate’s

data
shows
a
modest
0.73%
decline
in
the
broader
market
over
the
past
24
hours,
with
BTC
and
ETH
prices
now
at
$67,640
and
$3,761,
respectively.

Mentioned
in
this
article

Go to Source
Author: Oluwapelumi Adejumo


Recommended Crypto Services, Products and Strategies:

The first thing any crypto investor needs is is a reliable and secure Crypto Wallet.  Whether you’re looking for an online wallet, hardware wallet, desktop or mobile wallet, Crypto Renegade provides you with all the Best Crypto Wallets in each category.

Best Crypto Wallets Banner

When you’re ready to buy more crypto, or exchange your coins for others, Crypto Renegade’s list of the Best Crypto Exchanges has you covered.  The Crypto Exchanges recommended here offer everything from simplicity and convenience to advanced trading platforms and profit sharing. 

Best Crypto Exchanges Banner

If you want to learn more about the methods and tools that can be used to find Great Crypto Projects, then be sure to check out Crypto Renegade’s strategy for How To Find The Best Cryptocurrency.

Crypto Strategy Banner

For those people that don’t have any money to invest right now, or just want to understand the technology a bit more, you’ll definitely want to check out Crypto Renegade’s Free Crypto Strategy and start collecting Free Coins today!

Free Crypto Banner

What do you think about cryptocurrency? Do you have any questions about it? Be sure to leave a comment below.

You May Also Like

More From Author

This site uses Akismet to reduce spam. Learn how your comment data is processed.