Gemini, a New York trust company owned by Internet entrepreneur twins Cameron and Tyler Winklevoss, launched a U.S dollar-backed stablecoin called "Gemini dollar," which has the backing of the New York Department of Financial Services (NYDFS).
Gemini dollar, a stable value coin, issued by Gemini is strictly pegged at 1:1 to the U.S. dollar, and is built on the Ethereum network according to the ERC20 standard for tokens.
Following the launch, a Gemini account holder will be able to convert U.S. dollars in their account into Gemini dollars and withdraw them to a specified Ethereum address. They will also be able to automatically convert Gemini dollars into U.S. dollars by depositing them into their Gemini account.
The U.S dollars that correspond to the Gemini dollars issued and in circulation will be held in reserve at a bank located in the U.S. and will be eligible for FDIC "pass-through" deposit insurance, subject to applicable limitations.
The company says the smart contracts underlying the Gemini dollar token have been fully audited and formally verified by an independent security firm.
The Gemini dollar will serve as a crucial link between the traditional banking system and the new, rapidly growing crypto economy.
The move to launch the stablecoin comes after the Winklevoss twins faced rejection from regulators for its proposed Bitcoin exchange-traded fund (ETF) for the second time in July.
Meanwhile, blockchain trust company Paxos also has launched a similar stablecoin called "Paxos Standard."
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May 15, 2026 15:25 ET Apart from the confirmation of Kevin Warsh as the next Fed chair, the main news on the economics front this week included key price data from the U.S. and the first quarter economic growth figures from major economies. Both consumer prices and producer costs have started to reflect the effect of supply shocks due to the Middle East conflict. In Europe, GDP data was in focus, while inflation data from China dominated the news flow in Asia.