The condensation of calf thymus DNA into the cholesteric-like Psi-phase was observed by circular dichroism in liposome suspensions formulated with specific cationic gemini surfactants. The stereochemistry of the gemini spacer, the presence of specific functional groups, and the covalent link between the headgroups are fundamental issues in the condensation of DNA. Transmission electron microscopy images showed a multilamellar morphology, which corresponds with condensation.