cryptonews: The Securities and Exchange Commission has sued crypto exchange Gemini and crypto lender Genesis, accusing them of selling unregistered securities.🧐
"Genesis and Gemini offered unregistered securities to the public, bypassing disclosure requirements designed to protect investors," said SEC chairman Gary Gensler in a statement late Thursday. "Crypto lending platforms and other intermediaries need to comply with our time-tested securities laws. Doing so best protects investors. It promotes trust in markets. It's not optional. It's the law.
"The recent collapse of crypto asset lending programs and the suspension of Genesis' program underscore the critical need for platforms offering securities to retail investors to comply with the federal securities laws. As we've seen time and again, the failure to do so denies investors the basic information they need to make informed investment decisions."
But the risks are just as high. Many of the top crypto lenders went bankrupt in 2022, with Celsius and Voyager Digital having the highest profile. This has been both as a result of reckless lending and the fallout of the collapse of crypto hedge fund Three Arrows Capital earlier in the year. Like BlockFi, Genesis became insolvent after a client run sparked by the collapse of Sam Bankman-Fried's FTX exchange. But while its exposure was just $175 million, it had lost more than $1 billion to the 3AC collapse. It withstood that storm after DCG said it had given its division $1.1 billion, "absorbing" the loss.
South Africa Latest News, South Africa Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Genesis, Winklevoss twins' Gemini crypto venture charged by U.S. securities regulatorsU.S. securities regulators on Thursday charged Genesis Global Capital LLC and Gemini Trust Company LLC for the unregistered offer and sale of securities to...
Read more »
SEC Alleges Gemini, Genesis Sold Unregistered SecuritiesNEW: The SECGov has charged Gemini and Genesis with selling unregistered securities through the Gemini Earn product. nikhileshde realDannyNelson report
Read more »
Gemini and Genesis charged by SEC over unregistered securitiesThe United States Securities and Exchange Commission (SEC) has charged Genesis and Gemini over the sale and offer of unregistered securities through the crypto lending program Gemini Earn.
Read more »
SEC charges Gemini and Genesis with unregistered securities offeringThe program has been the subject of a public fight between the two erstwhile corporate partners.
Read more »
Genesis, Winklevoss twins' Gemini crypto venture charged by SEC with selling unregistered securitiesThe SEC is accusing crypto companies Genesis and Gemini of selling unregistered securities. Genesis still has not released about $900 million in investor assets from 340,000 Gemini Earn investors, the SEC says.
Read more »
U.S. securities regulator charges Genesis, Gemini with unregistered offeringsThe U.S. Securities and Exchange Commission (SEC) on Thursday said it has charged Genesis Global Capital LLC and Gemini Trust Company LLC with illegally selling securities to hundreds of thousands of investors through their crypto lending program.
Read more »