The Winklevii are out for blood 🤵🤵

The Winklevoss twins are back, and they're on the hunt for ~$900m in missing customer funds from their lending partner, Genesis.

"You can't measure success if you have never failed."

- Steffi Graf

Morning y'all 👋 ...Rallie here, the newsletter serving you crypto rockets like we're Coco Gauff at the Australian Open.

On the menu today:

  • 💰 The Winklevoss twins are back

  • 🎾 Baby news in the tennis world

  • ⚒️ Crypto mining explained

  • 🔥 Trending tweets

The Rallie Recap

🤵🤵 The Winklevoss twins are back, and they're on the hunt for ~$900m in missing customer funds from their lending partner, Genesis. Here’s the tea:

  • This week, Cameron Winklevoss wrote an open letter calling out Barry Silbert, the CEO of Digital Currency Group (DCG), which owns Genesis. The Winklevii allege that Genesis lied and conspired about its solvency following the FTX collapse.

  • Basically, Genesis has run into major money issues (to the tune of $1.2b) as they had money tied up in crypto hedge fund, Three Arrows Capital (3AC), and FTX, which both went belly up.

  • Now, the Winklevii have had to shut down their Earn program, and they're out for blood. In the letter, Cameron asks the DCG board of directors to kick Barry out as CEO.

This drama is def not over. But one thing's for sure, we're ready for The Social Network 2.0, because that movie was fire.

📆 Happy New Year to Shopify staff! The company's COO emailed employees and cancelled all meetings (that have 2+ people) saying, “We can either go slow and deliberate, or fast and chaotic. We are going fast and chaotic." We're here for this social experiment.

💰 You know what's a fun game? Hide and Seek. And FTX bankruptcy attorneys are becoming pros at it. Yesterday, news broke that FTX has recovered more than $5b in assets. Which is 5X more than previously announced. Here's some facts:

  • It's still unclear exactly how much in customer funds needs to be returned, but in the FTX bankruptcy filing, the figure is somewhere between $1b and $10b.

  • FTX gave sister company, Alameda, a $65b line of credit (spoiler: the LOC was customer funds), which was spent on buying planes, penthouses, making political donations, sponsoring the FTX Arena in Miami, and buying a Formula One team...

  • Some high-profile celebs could lose a lot of cashola. Gisele Bündchen and ex-husband Tom Brady, took a big hit with the supermodel owning 680k shares and the quarterback owning 1.1m shares. At one point, that stock was worth an estimated $25m and $45m, respectively. Ouch.

Why We Rallie

🎾 Congratulations to Naomi Osaka! Yesterday, the four-time Grand Slam champion announced her pregnancy, and said she'll be taking time off from the sport, with plans to return in 2024.

The news cleared up confusion surrounding her sudden withdraw from the Australian Open, the first big tournament in a post-Serena world, which started on Monday. Unfortunately, Osaka has already received some criticism for taking a break at, what some say, is a key point in her career. To that, we say here's to strong female athletes who aren't afraid to write a new playbook for when they choose to start families.

Btw, Osaka was the highest earning female athlete in the world in 2022... so critics can just chew on that.

Rallie Refresh: Crypto Mining

Keep hearing the term 'mining' but not sure what it is? We got you. Here's a quick explanation:

  • Cryptocurrency mining is the process of using specialized computer hardware to verify transactions on a blockchain network and earn rewards in the form of cryptocurrency.

  • In order to mine a cryptocurrency, a miner must solve complex mathematical problems using this hardware.

  • When a miner successfully solves a problem, a block of transactions is added to the blockchain, and the miner is rewarded with a pre-set amount of the crypto.

  • Different cryptocurrencies have different mining algorithms and reward structures. For example, Bitcoin uses Proof of Work (PoW) and Ethereum uses Proof of Stake (PoS).

  • Mining can be lucrative.... but these days it's quite competitive and requires a decent investment in specialized hardware to get started.

Trending Tweets

Our fav funnies to get you through the day.

Congrats, you made it to the end!

That's all for today. Stay hungry & we'll catch you next time. ✌️

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DISCLAIMER: This is not financial advice. This newsletter is strictly educational and is not investment advice or a solicitation to buy or sell any assets or to make any financial decisions.