Gemini announced that users of its discontinued Earn product will soon receive about 97% of their frozen digital assets by the month's end.

In a recent statement, the exchange clarified that the initial distributions will be made in kind. This means that users will receive the same amount of assets they had originally lent into the Earn program as of November 16, 2022, including any appreciation in asset value since then.

The announcement coincided with news that the bankrupt crypto lender Genesis received court approval to return approximately $3 billion in customer assets.

This development brings significant relief to Earn users, whose assets have been locked since November 2022 due to Genesis's liquidity crisis. The community has welcomed Gemini's plan, especially considering the substantial increase in asset values since 2022, such as Bitcoin surpassing $67,000 and Ethereum exceeding $3,000 on average.

Gemini Earn, an interest-bearing product, faced controversy after Genesis filed for bankruptcy last year. The program was halted in January 2023 when Gemini terminated its agreements with Genesis.

Gemini has pursued legal action against Digital Currency Group, Genesis's parent company, alleging that they were aware of Genesis's financial problems since 2022 but did not disclose this to investors. Regulatory scrutiny from the New York State Department of Financial Services (NYDFS) and the US Securities and Exchange Commission (SEC) followed, with Gemini subsequently reaching settlements with both agencies.