Catenaa, Sunday, September 21, 2025- The US Securities and Exchange Commission has reached a settlement in principle with Gemini Trust, the cryptocurrency exchange led by billionaire twins Tyler and Cameron Winklevoss, resolving a lawsuit over its Gemini Earn lending program.
The agreement, filed in Manhattan federal court, is subject to SEC approval and aims to fully resolve claims that the exchange failed to register its crypto lending offering before marketing it to retail investors.
Lawyers for both parties asked U.S. District Judge Edgardo Ramos to extend the timeline until December 15 to submit final settlement paperwork and pause all related deadlines. The settlement follows Gemini’s recent $425 million initial public offering, which valued the New York-based company at approximately $3.3 billion, with shares closing 16% above the IPO price.
Gemini Earn allowed customers to lend bitcoin and other crypto assets to Genesis Global Capital for interest, with Gemini Trust taking fees of up to 4.29%. Genesis froze withdrawals in November 2022, around the collapse of FTX, leaving $900 million in assets from roughly 340,000 Gemini Earn users.
The SEC sued Gemini and Genesis in January 2023, citing insufficient disclosures intended to protect investors. Genesis paid a $21 million fine without admitting wrongdoing, while Gemini has denied any violations.
The settlement represents the latest development as SEC oversight of the cryptocurrency industry has softened since President Donald Trump took office. Tyler and Cameron Winklevoss are each listed with a net worth of $4.6 billion by Forbes.
