The agency argues continuing injunctive relief against the crypto exchange is no longer equitable after a $5 million fine was paid.
The Commodity Futures Trading Commission has filed a motion to reverse its settlement with Gemini, seeking to lift an injunction barring the exchange from making misleading statements. The agency stated that applying remaining provisions prospectively would not be equitable, though it remains unclear if the $5 million fine will be refunded.
The case originated from allegations that Gemini provided misleading information in 2022 during the review of a Bitcoin futures contract, specifically regarding auction volumes and liquidity. The CFTC claimed these details were critical for assessing risk and approving the contract. Gemini co-founders Tyler and Cameron Winklevoss had each donated $1 million to Donald Trump’s 2024 campaign.
The request follows Trump’s withdrawal of former CFTC chair nominee Brian Quintenz, who had engaged with Gemini’s CEO about reviewing the case. Trump later nominated Mike Selig, a lawyer with a pro-crypto stance, as the new chair candidate.