Gemini Moves to Dismiss SEC's Securities Case on Earn Product
Gemini said that its Earn product which offered yields to customers to lend out coins wasn’t a security. In the filing, Genesis also mentioned that all these transactions, in effect, were loans. Thus, it asked the court to dismiss the complaint, or “in the alternative, strike the SEC’s requests for a permanent injunction and disgorgement.” advertisement The complaint from the SEC also argues that Gemini and not Genesis “ran the customer-facing operations of the Earn program”. However, the crypto exchange said that it was just a transfer agent for the Earn product while calling the SEC lawsuit “ill-conceived”. Just before crypto lender Genesis filed for bankruptcy, the SEC sued both companies earlier this year in January 2023. Ever since crypto lender Genesis went into trouble following the collapse of crypto exchange FTX, Earn users haven’t been able to withdraw their money since November 2022. Gemini Vs ...