Live Richer Podcast: How To Leverage Your Investments In January, another one bit the FTX dust, as the Securities and Exchange Commission (SEC) charged Gemini and Genesis for “the unregistered offer and sale of securities to retail investors through the Gemini Earn crypto asset lending program.” 28, saying this “follows the shocking events surrounding FTX and associated corporate entities and the difficult but necessary decision we made as a result to pause most activities on our platform.” The FTX fallout contagion ensued, and fellow crypto platform BlockFi also filed for bankruptcy on Nov. Of course, the now infamous FTX platform filed - along with its more than 130 subsidiaries - for Chapter 11 on Nov. © 2023 NYP Holdings, Inc.Let’s take a look at how so many people lost their crypto holdings and what recourse they have to get their money back. Last month, a pair of Gemini Earn investors slapped the Winklevoss twins with a class-action lawsuit, alleging the exchange sold the accounts to customers without registering them as securities and fully alerting customers of the potential risks. “Any suggestion to the contrary is unsupported by the facts.” Gemini customers are unable to access funds tied up in the Earn program. “For the avoidance of doubt, Gemini has always worked hard to comply with all relevant laws and regulations,” Winklevoss said. The Gemini co-founder said the suit was “counterproductive” and asserted that the “Earn” program has been regulated by the New York Department of Financial Services. Tyler Winklevoss slammed the agency’s move as “disappointing” in a lengthy Twitter thread. The SEC complaint marked another headache for Cameron and Tyler Winklevoss, who have reinvented themselves as crypto kingpins in the years since their high-profile legal clash with Mark Zuckerberg over the founding of Facebook. Their behavior is totally counterproductive.- Tyler Winklevoss January 12, 2023 This action does nothing to further our efforts and help Earn users get their assets back. “Investigations into other securities law violations and into other entities and persons relating to the alleged misconduct are ongoing,” the SEC added.ġ/ It’s disappointing that the chose to file an action today as and other creditors are working hard together to recover funds. The brothers have pinned the blame on Silbert and accused him of engaging in “bad faith stall tactics.” Silbert has denied wrongdoing. The unresolved freeze on customer accounts has sparked a war of words between the Winklevoss twins and Barry Silbert, whose Digital Currency Group owns Genesis. Genesis, the key lending partner for “Earn” accounts, blamed its decision to halt customer withdrawals in November on “market turmoil” caused by FTX’s sudden collapse into bankruptcy. Getty Images The SEC is seeking to recover any “ill-gotten gains” in connection to Gemini’s program. The Winklevoss twins are best known for their legal fight with Mark Zuckerberg. “Today’s charges build on previous actions to make clear to the marketplace and the investing public that crypto lending platforms and other intermediaries need to comply with our time-tested securities laws,” Gensler added. “We allege that Genesis and Gemini offered unregistered securities to the public, bypassing disclosure requirements designed to protect investors,” SEC Chair Gary Gensler said in a statement. The accounts have been frozen since November, with customers unable to access their funds. Regulators are seeking to recover any “ill-gotten gains” generated by the interest-bearing account program, which billed itself as a way for customers to earn 8% annual interest on their digital currency holdings. The SEC charged the Winklevoss twins’ Gemini crypto exchange and its lending partner Genesis this week with selling unregistered securities in the form of a “Gemini Earn” program that sparked a $900 million crisis. Winklevoss twins owed $900M by crypto broker as FTX contagion spreads Winklevoss twins sued by Gemini investors over $900M crypto crisis Winklevoss twins accuse key crypto partner of ‘bad faith’ in $900M crisis Winklevoss twins slashing 10% of crypto firm Gemini’s workforce: report
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |