The billionaire Winklevoss twins, founders of the Gemini crypto exchange, have faced a setback as their Bitcoin donations to former U.S. President Donald Trump’s election campaign exceeded federal limits and were refunded. Cameron and Tyler Winklevoss, each contributing $2 million in Bitcoin, surpassed the legal individual donation limit of $844,600 for the Trump campaign. Bloomberg reported the excess amount was refunded, although it’s unclear if the refunds were in Bitcoin or cash.
The refunded money was part of a split donation that supported Trump’s campaign, a leadership political action committee, the Republican National Committee, and 42 Republican state committees. This action marks a strengthening relationship between Trump’s campaign and the crypto industry, a significant player in the 2024 election.
The Winklevoss twins are not just donors but also active supporters, attending a high-priced fundraiser for Trump and donating around $5 million to the Fairshake political action committee, which targets anti-crypto lawmakers.
Meanwhile, Gemini has been embroiled in financial challenges. Many users struggled to recover funds from Gemini Earn, a yield-earning program run with now-bankrupt Genesis Global. In May, New York Attorney General Letitia James announced a $2 billion settlement with Genesis over investor fraud claims, mandating the return of funds and ceasing operations in New York. Additionally, Gemini agreed in February to return $1.1 billion to customers as part of a settlement related to the Genesis bankruptcy. The SEC had sued both Gemini and Genesis over Gemini Earn, with Genesis subsequently settling the case.
The incident highlights the intertwining of cryptocurrency with politics and the regulatory challenges that come with large-scale crypto donations. As the 2024 election approaches, the relationship between the crypto industry and political campaigns will likely continue to evolve.
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