The cryptocurrency exchange and custodian, Gemini Trust Company LLC, is run by the Winklevoss brothers. Theymade news by hiring a fintech veteran, Tyler Skelton, as their new head of finance or CFO, amidst the layoffs by the company and industries worldwide. When Genesis filed for bankruptcy, they were uncertain if the Earn program users would get their money back.
As per his LinkedIn profile, Tyler started working for Gemini earlier this month and previously worked as the CFO for North America at Till Payments, helping businesses accept payments. He also has experience working as the head of finance at crypto services and technology provider Bakkt, helping with the SPAC merger and leading the due diligence on acquisition. His hiring was confirmed by someone close to Gemini and wished to be unnamed due to internal business.
Previously this post was taken by Jared Shaw, who left in 2022 when offered a CFO role at Animoca Brands; the company develops crypto games and invests in the sector.
Shelton joined the exchange when the company recently laid off 10% of its staff. Many users of the Gemini Earn program are left in the dilemma of getting their money back. When its partner Genesis filed for bankruptcy earlier this month, it laid off 7% of the workforce in July 2022.
Layoffs are prevalent in almost every industry worldwide, probably due to difficult economic conditions prevailing around the globe.
Noah Perlman recently left Gemini, as the company is finding it difficult to go through the recent storms and tornadoes frequenting the digital market. Noah joined the firm as Chief Compliance Officer (CCO) in 2019 and worked at Morgan Stanley before this. Although he never appeared in front of the media or commented anything on the matter, his LinkedIn profile shows his COO role till January 2023.
Gemini and Genesis had a pact where Gemini offered the users a high yield of 8% through an ambitious program called Gemini Earn. To generate the said yield, Gemini lent the users’ funds to Genesis, which later loaned them out to other institutional borrowers.
Then came FTX collapse, and when they filed for bankruptcy, Gemini halted redemptions for Gemini Earn a few days later, while Genesis Global also suspended redemptions and newer loans. Gemini refused any exposure with the bankrupt crypto exchange, but on November 10, 2023, Genesis announced that $175 million in funds were stuck in the exchange.
A group of investors has filed a class action lawsuit against Gemini for selling their Earn interest-bearing accounts without registering them as securities with the authorities. Genesis Global HoldCo, Genesis Asia Pacific, and Genesis Global Capital filed for chapter 11 bankruptcy on January 19, 2023. The papers list Gemini as the biggest creditor, with $765.9 million.
Nancy J. Allen is a crypto enthusiast and believes that cryptocurrencies inspire people to be their own banks and step aside from traditional monetary exchange systems. She is also intrigued by blockchain technology and its functioning.
Source: https://www.thecoinrepublic.com/2023/01/30/gemini-exchange-gets-new-cfo-tyler-skelton/