Gemini Trust Co., the brainchild of the Winklevoss twins, has finally resolved its long-standing battle with the Commodity Futures Trading Commission (CFTC). The company announced earlier today that it has reached a $5 million settlement. This ends allegations that Gemini misled regulators during its bid to launch America’s first Bitcoin futures contract. This settlement is part of the ongoing conflict between the crypto industry and regulators. It reflects the changing policies influenced by shifting political climates. Gemini’s Regulatory Hurdles: A Case of Misrepresentation? The controversy dates back to 2017 when Gemini Trust submitted proposals to the CFTC to launch future contracts for Bitcoin. However ,the CFTC alleged that Gemini misrepresented critical safeguards to prevent price manipulation. These safeguards were supposed to form the backbone of a trusted financial product, yet the regulator argued Gemini fell short of expectations. Fast forward to January 2025, just weeks before a trial was set to unravel in Manhattan federal court , Gemini and the CFTC struck a deal. Gemini agreed to pay $5 million to settle the claims, neither admitting nor denying wrongdoing. This settlement underscores the legal tightrope walked by crypto firms aiming to push boundaries while facing increasing scrutiny. Ripple Effects in the Crypto Landscape Gemini’s settlement coincides with broader regulatory movements, including the high-profile Ripple SEC case. Former SEC enforcement lawyer Marc Fagel recently predicted a possible settlement in the ongoing lawsuit against Ripple . He pointed to the incoming Trump administration, which is expected to take a more industry-friendly approach. As SEC Chair Paul Atkins prepares to take the reins, many expect regulatory leniency to shape the crypto landscape in 2025. Ripple CEO Brad Garlinghouse has already attributed a surge in U.S. business activity to what he dubbed the “ Trump effect .” In a recent X post, he shared that 75% of Ripple’s hiring is now U.S.-based. This shift is driven by a surge in domestic deals following Trump’s election victory. Ripple’s newly launched RLUSD stablecoin has also gained prominence, surpassing competitors like PYUSD and EURC in trading volume. Biden’s Legacy vs. Trump’s Crypto Promise The settlement is an important moment in the broader narrative of U.S. crypto regulation. Under President Biden, more actions were taken against crypto companies, showing a tougher approach to market rules. The Gemini case was one of many, as regulators worked to ensure fairness and prevent abuse in the growing crypto market. However, with President Trump returning to office, regulations may change. Known for supporting the industry, Trump’s administration is expected to be more lenient with crypto rules. The post Gemini Strikes $5M Settlement Deal With US CFTC: Details appeared first on TheCoinrise.com .
