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SEC Moves to Dismiss Gemini Earn Case With Prejudice After Full Investor Repayment

The regulator sought to end the suit after Earn customers received a complete in‑kind return of crypto through Genesis’s bankruptcy.

Overview

  • The SEC and Gemini filed a joint stipulation in Manhattan federal court to dismiss the case with prejudice, pending a judge’s approval.
  • The filing cites a 100% in‑kind return of assets to Gemini Earn users through Genesis Global Capital’s bankruptcy between May and June 2024.
  • The dismissal would bar the agency from refiling the same claims against Gemini over the Earn lending program.
  • The SEC’s January 2023 complaint alleged unregistered securities sales tied to Earn; Genesis separately agreed to a $21 million civil penalty.
  • The Commission emphasized that its decision is specific to this case’s facts and does not set precedent for other crypto yield products.