Gemini, the cryptocurrency exchange founded by the Winklevoss twins, has announced a successful recovery of $2.18 billion of its customers' digital assets from its bankrupt crypto lending arm, Gemini Earn. This marks one of the most successful recoveries from insolvency in the industry. The recovery was well received by the crypto community, with Blockstream CEO Adam Back praising Gemini's commitment to making its users whole.

Gemini Earn's collapse was part of the fallout from FTX and Alameda Research's bankruptcy in late 2022. Despite accusations of fraud and a tumultuous legal battle, Gemini has managed to recover 232% of its assets in USD terms, a stark contrast to other firms that have only been able to promise cash reimbursements.

Gemini maintains that the bankruptcy was due to "old-fashioned financial fraud" and a lack of regulatory clarity, not a problem inherent to cryptocurrency. This recovery is a positive sign for the resilience and potential of the crypto market, even in the face of significant challenges.