Gemini Owes Winklevoss Fund 4,356 Bitcoin That Can Be Called Back Anytime
Gemini owed 4,356 borrowed Bitcoin to related party WCF at the end of September, a $364 million debt with no fixed due date that the lender can call in on written notice.
Key Takeaways
- Gemini owed 4,356 Bitcoin to WCF on Sept. 30, down from 4,619 at the end of 2025
- The loans carry 4% to 5% interest and have no stated maturity date
- Gemini mainly uses the borrowed Bitcoin as collateral for third-party loans, including a $75 million Galaxy Digital facility
- Third-quarter revenue fell to $40.9 million and the net loss was $58.6 million
Gemini disclosed the loans in its latest quarterly filing. “All principal loan amounts have no stated maturity date but are callable upon written notice by WCF,” the filing says. The borrowings were valued at $364 million on Sept. 30, down from $402.5 million on Dec. 31, 2025.
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Where The Borrowed Bitcoin Goes
“The Company primarily uses the crypto assets obtained from these agreements as collateral for third party loans,” the filing says.
On June 30, Gemini took a $75 million loan from Galaxy Digital at 7.5% a year with no fixed end date, and borrowed Bitcoin from WCF to back it. On Sept. 30 it had 1,595 Bitcoin pledged to Galaxy and about 1,230 more held for possible margin calls, with total collateral of $133.3 million.
The Galaxy deal replaced a $75 million repurchase agreement with NYDIG at 8.5%, which Gemini repaid on June 30. In March, Gemini borrowed 822 Bitcoin from WCF just to meet margin on that NYDIG deal, and repaid it in the second quarter.
Why It Matters When Bitcoin Falls
The WCF loans are counted in coins, so the dollar size of the debt moves with Bitcoin’s price. The coins pledged to Galaxy are also why Gemini keeps extra Bitcoin aside for margin, since a falling price means a lender can ask for more collateral.
The same filing shows Gemini’s third-quarter revenue fell to $40.9 million from $50.6 million a year earlier, while its net loss narrowed to $58.6 million from $159.5 million. Interest on related party loans cost $3.2 million in the quarter.
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