{"id":73281,"date":"2026-05-29T23:49:45","date_gmt":"2026-05-29T23:49:45","guid":{"rendered":"https:\/\/crowdfundjunction.com\/blog\/cftc-seeks-to-undo-5-million-gemini-penalty\/"},"modified":"2026-05-29T23:49:45","modified_gmt":"2026-05-29T23:49:45","slug":"cftc-seeks-to-undo-5-million-gemini-penalty","status":"publish","type":"post","link":"https:\/\/crowdfundjunction.com\/blog\/cftc-seeks-to-undo-5-million-gemini-penalty\/","title":{"rendered":"CFTC Seeks To Undo $5 Million Gemini Penalty"},"content":{"rendered":"<p><b>(Originally posted on : Crypto News &#8211; iGaming.org )<\/b><br \/>\n<\/p>\n<div>\n<p>The CFTC now says its old case against Gemini Trust Company should not have been filed, giving the Winklevoss crypto exchange a rare chance to unwind a settled enforcement action.<\/p>\n<hr\/>\n<p><em><strong>Good to Know<\/strong><\/em><\/p>\n<ul>\n<li><em><strong>CFTC and Gemini jointly asked a judge to vacate the January 2025 settlement.<\/strong><\/em><\/li>\n<li><em><strong>Gemini paid a $5 million penalty tied to alleged bitcoin futures statements.<\/strong><\/em><\/li>\n<li><em><strong>The filing says Gemini was the victim of fraud, not the party regulators should have targeted.<\/strong><\/em><\/li>\n<\/ul>\n<hr\/>\n<p>A 2025 penalty against Gemini may soon disappear from the record after the CFTC changed its view of the case.<\/p>\n<p>The agency and Gemini filed a joint request Wednesday asking a federal judge to undo a settlement reached near the end of the Biden administration. Under that deal, Gemini paid $5 million and accepted an injunction barring false or misleading statements to the regulator.<\/p>\n<p>The new filing says CFTC staff <em>\u201cresorted to inappropriate tactics\u201d<\/em> to bring the lawsuit and <em>\u201cextract a settlement from Gemini.\u201d<\/em> It also says the case leaned on a whistleblower account that lacked credibility.<\/p>\n<div class=\"main-org-3-item-ins box-100 relative mb-4\">\n<div class=\"space-org-3-items box-100 relative\">\n<div class=\"box-100 space-org-3-item relative border-tb mt-1 \">\n<div class=\"space-org-3-item-ins box-100 relative\">\n<div class=\"space-org-3-item-terms box-25 relative\">\n<div class=\"space-org-3-item-terms-ins box-100 text-center relative\"> <strong>177% up to 5BTC + 77 <strong> Free Spins<\/strong>!<\/strong> <\/p>\n<p>New players only. Exclusive Welcome Bonus of 177% + 77 Free Spins <\/p>\n<\/p><\/div>\n<\/p><\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<p>Instead, the CFTC and Gemini now argue the exchange was hurt by fraud involving a former Chief Operating Officer and two customers who allegedly received improper rebates. The filing says regulators chased claims over bitcoin futures disclosures rather than investigate fraud against Gemini.<\/p>\n<p>The original lawsuit dated back to statements Gemini made during the certification process for a bitcoin futures product. In January 2025, the CFTC said Gemini had made false or misleading statements or omissions tied to market integrity and manipulation risk. Gemini settled without admitting or denying the findings.<\/p>\n<p>The dispute did not stay limited to bitcoin futures. The new filing also says regulators warned Gemini that a pending enforcement case would block approval for a prediction market platform.<\/p>\n<p>Gemini later received approval in December 2025 for Gemini Titan, its prediction market product. The filing does not make clear whether Gemini will get back the $5 million already paid. Reuters reported that Gemini has agreed not to seek a refund of the penalty.<\/p>\n<div class=\"main-org-3-item-ins box-100 relative mb-4\">\n<div class=\"space-org-3-items box-100 relative\">\n<div class=\"box-100 space-org-3-item relative border-tb mt-1 \">\n<div class=\"space-org-3-item-ins box-100 relative\">\n<div class=\"space-org-3-item-terms box-25 relative\">\n<div class=\"space-org-3-item-terms-ins box-100 text-center relative\"> <strong>5BTC or 111% + 111 Free Spins!<\/strong> <\/p>\n<p>New players only. Exclusive 111% Welcome Bonus + 111 Free Spins<\/p>\n<\/p><\/div>\n<\/p><\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<p>Politics also sits around the case. Gemini was founded by Tyler Winklevoss and Cameron Winklevoss, who each donated $1 million in bitcoin to the 2024 campaign of President Donald Trump. Former CFTC chair nominee Brian Quintenz later accused Tyler Winklevoss of lobbying the White House against his nomination because of the Gemini lawsuit. Trump withdrew that nomination and later selected Michael Selig to lead the regulator.<\/p>\n<p>The Winklevoss twins first became widely known after suing Mark Zuckerberg over claims tied to the idea for Facebook. That case ended in a 2008 settlement involving cash and stock.<\/p>\n<\/p><\/div>\n<p><a href=\"https:\/\/igaming.org\/crypto\/cftc-seeks-to-undo-5-million-gemini-penalty\/\">Source link <\/a><br \/>\n<br \/><\/p>\n","protected":false},"excerpt":{"rendered":"<p>(Originally posted on : Crypto News &#8211; iGaming.org ) The CFTC now says its old case against Gemini Trust Company should not have been filed, giving the Winklevoss crypto exchange a rare chance to unwind a settled enforcement action. Good to Know CFTC and Gemini jointly asked a judge to vacate the January 2025 settlement. [&hellip;]<\/p>\n","protected":false},"author":44,"featured_media":73282,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"om_disable_all_campaigns":false,"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0},"categories":[34],"tags":[],"_links":{"self":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts\/73281"}],"collection":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/users\/44"}],"replies":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/comments?post=73281"}],"version-history":[{"count":0,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts\/73281\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/media\/73282"}],"wp:attachment":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/media?parent=73281"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/categories?post=73281"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/tags?post=73281"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}