Winklevoss brothers-owned crypto exchange Gemini witnessed a surge in withdrawals early, as crypto firms tackle the cascading effects of the collapsed exchange FTX FTT/USD.
What Happened: On-chain data revealed by Nansen, $485 million have been withdrawn from Gemini, in the last 24 hours.
In the past seven days, Gemini registered $682 million in net outflows — $1.55 billion in inflows minus $866 million in outflows from Nansen — suggesting that withdrawals were concentrated on Wednesday.
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On Wednesday, the company suspended withdrawals for its lending division, Gemini Earn, citing “extreme market dislocation” and “loss of industry confidence caused by the FTX implosion”, adding that it was looking into options for the lending unit, including locating a new source of financing.
According to blockchain data platform Arkham Intelligence, digital asset balances on Gemini crypto wallets dropped from about $2.2 billion to $1.7 billion on Wednesday.
Stablecoin issuer Tether USDT/USD said on Wednesday that it had no exposure to Genesis or the Gemini Earn program.
Price Action: FTT is trading at $1.66, down 5.83% in the last 24 hours, according to Benzinga Pro.
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