Tyler and Cameron Winklevoss, the co-founders of U.S.-based cryptocurrency exchange Gemini, are reportedly out of pocket to fund their businesses amid the crypto market downturn.
The Winklevoss twins personally lent Gemini $100 million after trying to secure funding from outside investors, Bloomberg reported on April 10. Cointelegraph reached out to Gemini for comment but had not heard back by the time of publication. The reported loans come as regulators scrutinize Gemini's activities. In January, the SEC charged Gemini and Genesis Global Capital with offering unregistered securities through the exchange's Earn program. New York’s Department of Financial Services has also reportedly begun investigating the exchange after many Gemini users claimed assets in their Earn accounts had been FDIC-protected.
After announcing the charges, Tyler Winklevoss accused the SEC of issuing "bogus parking tickets," claiming that Gemini staff had been negotiating with regulators for more than a year before taking enforcement action. The complaint echoes that of cryptocurrency exchange Coinbase, whose chief legal officer said its personnel "meeted with SEC representatives more than 30 times over a nine-month period," but was still notified by Wells.
