Re:Crypto broker Genesis owes Winklevoss exchange’s customer...
by throwaway5959 on Saturday December 03, 2022 @01:14PM
(#33845780)
Caveat emptor I guess, but all of this stinks pretty bad. Why anyone would trust crypto with any meaningful amount of money going forward is beyond me.
Re:Crypto broker Genesis owes Winklevoss exchange’s customer...
by SparkyMcUnicorn on Saturday December 03, 2022 @06:48PM
(#33848803)
How is this the fault of crypto? Centralized entities made extremely bad decisions and offered unrealistic rates at the risk of their customers funds.
Defi has been chugging along just fine, and everyone in Uniswap, Aave, Balancer, Curve, etc. still have their all their assets.
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Re:Crypto broker Genesis owes Winklevoss exchange’s customer...
by SamReidHughes on Sunday December 04, 2022 @02:32PM
(#33856882)
This wasn't "mouseprint", this was huge bolded terms at the top of the TOS, and the site [1] made it clear you're earning interest, from borrowers, and it named the borrower, Genesis, on that page.
[1] https://web.archive.org/web/20220129130304/https://www.gemin...
It even informs you, "Gemini Earn customers (the lenders) always assume some level of risk when they decide to lend their funds." Duh.
What kind of person participates in a novel lending opportunity in the magical internet money space without assuming risk of loss?
It has always been widely publicized and is crystal clear in the TOS that with Gemini Earn you are not making secured or insured loans, and that Gemini isn't the borrower. Contrast that with something like IBKR's stock yield enhancement program, where IBKR is the borrower, and they absorb risk that the stock doesn't get returned.