The Securities and Exchange Commission (SEC) has closed its investigation into Gemini, a cryptocurrency exchange.
SEC Closes Gemini Probe After 699 Days; Winklevoss Seeks Reimbursement
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Unquantifiable Loss in Economic Growth for America
The U.S. Securities and Exchange Commission (SEC) has closed its investigation into Gemini and will not pursue an enforcement action against the cryptocurrency exchange. According to Cameron Winklevoss, co-founder of Gemini, the withdrawal marks another milestone to the end of the Commission’s war on crypto.
However, in a post on the social media platform X, Winklevoss lamented the toll the SEC’s actions have taken on the cryptocurrency exchange and the industry in general.
“The SEC cost us tens of millions of dollars in legal bills alone and hundreds of millions in lost productivity, creativity and innovation. Of course, Gemini is not alone. The SEC’s behavior in aggregate toward other cryptocurrency companies and projects cost orders of magnitude more and caused unquantifiable loss in economic growth for America,” the Gemini co-founder explained.
Like many U.S.-based players in the cryptocurrency industry, Winklevoss and his fellow co-founder Tyler Winklevoss railed against what they saw as the SEC’s heavy-handed approach. The two brothers amplified their rhetoric against the then Gary Gensler-led SEC after the commission launched an investigation into Gemini, which ran for 699 days.
Throughout that time, the Gemini co-founders actively lobbied against Gensler and financially supported pro- cryptocurrency politicians. That campaign ultimately helped usher in what has been described as the most pro- cryptocurrency U.S. government, which wasted no time in replacing the SEC leadership.
Since then, the SEC has withdrawn or dropped enforcement actions against several other cryptocurrency firms, including Coinbase, OpenSea and Uniswap. While Winklevoss welcomed the SEC’s decision to drop litigation against his and other cryptocurrency firms, he insisted that legislation deterring the SEC from repeating the same must be enacted.
Furthermore, Winklevoss also proposed a rule that would see the SEC reimburse triple the legal costs incurred by impacted companies. On the way forward, the co-founder warned that unless there is a real public reckoning for Operation Chokepoint 2.0, a similar sinister conspiracy will happen again.
