Winklevoss twins plan regulated Bitcoin exchange

Gemini will be a New York market with cash deposits backed by a chartered bank

The most famous twins in social media and cryptocurrency want to launch a regulated Bitcoin exchange -- named Gemini, of course.

Cameron and Tyler Winklevoss want their "next-generation exchange," to be based in New York, to be fully regulated and in compliance with financial laws, a stance that goes against the anonymous, anti-establishment philosophy under which Bitcoin was born six years ago.

As major investors in Bitcoin, the brothers see the exchange as a way to secure the digital currency's future amid continued price declines, hacking incidents and criminal cases. To bolster confidence, they said they have formed a relationship with a chartered bank in the state of New York.

"This means that your money will never leave the country," the twins wrote in a blog post. "It also means that U.S. dollars on Gemini will be eligible for FDIC insurance and held by a U.S.-regulated bank," they wrote, referring to the U.S. Federal Deposit Insurance Corporation, which guarantees the deposits in member banks.

The team behind Gemini currently consists of 14 people including the brothers. They did not say when Gemini might receive regulatory approval from New York state authorities, who held public hearings on regulations a year ago.

"It's true that Bitcoin's promise is a new, frictionless money, but that all becomes academic if we don't build towards an ecosystem that is free of hacking, fraud and security breaches," the twins wrote on their Gemini blog.

The so-called Winklevii are believed to be one of the largest holders of Bitcoin in the world. They're also known for their disputes with Facebook CEO Mark Zuckerberg as well as for another cryptocurrency plan -- a NASDAQ Bitcoin investment trust under which the coins would apparently be protected in vaults like gold bars.

Tim Hornyak covers Japan and emerging technologies for The IDG News Service. Follow Tim on Twitter at @robotopia.

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.

Tags internetInternet-based applications and servicesGemini

Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Tim Hornyak

IDG News Service
Show Comments

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Cate Bacon

Aruba Instant On AP11D

The strength of the Aruba Instant On AP11D is that the design and feature set support the modern, flexible, and mobile way of working.

Dr Prabigya Shiwakoti

Aruba Instant On AP11D

Aruba backs the AP11D up with a two-year warranty and 24/7 phone support.

Tom Pope

Dynabook Portégé X30L-G

Ultimately this laptop has achieved everything I would hope for in a laptop for work, while fitting that into a form factor and weight that is remarkable.

Tom Sellers

MSI P65

This smart laptop was enjoyable to use and great to work on – creating content was super simple.

Lolita Wang

MSI GT76

It really doesn’t get more “gaming laptop” than this.

Featured Content

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?