The US Commodity Futures Trading Commission (CFTC) bring the action New York-based crypto exchange Gemini False or misleading remarks “or omission of facts in a conversation with the Commission. A proceeding against the Commodity Exchange Act (CEA) was filed in a federal court in New York.
The CFTC’s allegations represent a discussion with Gemini about five years ago between July and December 2017 for self-certification of Bitcoin futures contracts. With approval, it was the first digital asset futures contract to be listed in the United States.
Gretchen Lowe, Deputy Executive Director of the CFTC, said in a statement:
“False or misleading statements to the CFTC in connection with futures product certification ensure the financial integrity of all transactions subject to CEA, protect market participants, prevent price fixing and It undermines the CFTC’s work to prevent and promote responsible innovation and fair competition .. This enforcement measure sends a strong message that the Commission will act to protect the integrity of the market surveillance process. “
The complaint alleges that Gemini provided false information about the facts related to the CFTC to understand its susceptibility to the operation of Bitcoin futures contracts. In other words, the CFTC claims that Gemini lied or omitted the fact that Bitcoin futures contracts could be a prey to price fixing.
The CFTC statement further states that Gemini employees knew or should have known that their statement was misleading or false.
The CFTC is asking Gemini, owned by Cameron and Tyler Winklevoss, to make illegal revenues, ban registrations and transactions, and pay fines.
According to Bloomberg’s report, Gemini has decided to fight the proceedings. In a statement to the publication, it said:
“Gemini has been a thoughtful regulatory pioneer and advocate since day one. We have eight years of experience in seeking permission, not forgiveness, and always doing the right thing. I look forward to proving to. “
