In an open letter attached to a tweet on Monday, Cameron Winklevoss presented Barry Silbert with a “best and final offer,” threatening to sue the Digital Currency Group founder and the firm itself if terms are not agreed on by 4 pm ET on July 6.
— Cameron Winklevoss (@cameron) July 4, 2023
Winklevoss’ proposed deal involves a total of $1.465 billion to be paid out by DCG’s bankrupt lending arm Genesis in tranches payable at different intervals and a forbearance payment payable on July 21. The payments will be denominated in BTC, ETH and U.S. dollars.
“I write to inform you that your games are over. In addition to dragging out a resolution, they have ballooned professional fees to over $100 million, all of which have gone to lawyers and advisors at the expense of creditors and Earn users,” wrote Winklevoss in the letter.
Winklevoss also made a series of accusations against Silbert, alleging that he committed fraud by knowingly lying to creditors, including Gemini, in the summer of 2022, leading everyone to believe that DCG had absorbed the $1.2 billion in losses that Genesis incurred from Three Arrows Capital’s (3AC) collapse.
In reality, Winklevoss claims that DCG entered a “bogus long-dated promissory note” to dig itself out of a $1.2 billion hole in its balance sheet. He claimed that Silbert has made every effort to delay the mediation process and arrive at the terms of a proposed resolution plan in order to raise money to pay down the $630 million loan.
“It takes a special kind of person to owe $3.3 billion dollars to hundreds of thousands of people and believe…that they are some kind of victim. Not even Sam Bankman-Fried was capable of such delusion,” said Winklevoss.