Gemini, Genesis File Dismissal Motion in SEC Lawsuit Over Earn Program
Lawsuits from law enforcement agencies have become more prevalent than ever in the crypto industry. The Securities and Exchange Commission [SEC] went on slapping lawsuits across the industry. In line with this trend, the SEC filed a lawsuit against Gemini, a major crypto exchange, in January 2023, specifically targeting Gemini’s yield-bearing product, Earn. However, in a recent revelation, Gemini has taken a new approach by urging the court to dismiss the SEC’s lawsuit. In addition to Gemini, bankrupt crypto lender Genesis was also dragged into the lawsuit. The lawsuit alleges that the Earn program was an unregistered offering. Through this, the two firms raised billions of dollars worth of crypto assets from hundreds of thousands of investors. The SEC’s claims revolve around the alleged breach of registration requirements. The solicitation of investments without the proper regulatory oversight was also pointed out. In the latest filing, Gemini was seen trying to dismiss these ...