- SEC civil suit against Gemini Trust Company and Genesis Global Capital dismissed with prejudice after a joint stipulation was filed.
- The parties submitted a joint stipulation to dismiss in the U.S. District Court for the Southern District of New York; a judge must still sign to finalize the dismissal (court filing).
- The dismissal follows a 100% in-kind return of investor crypto through the Genesis bankruptcy and Gemini agreeing to contribute up to $40 million to support full recovery.
- Genesis previously settled with the SEC by agreeing to pay a $21 million fine.
- The case began in January 2023, was paused in April 2024, and is part of a broader pattern of dropped crypto cases since January 2025.
The U.S. Securities and Exchange Commission’s civil action against Gemini Trust Company and Genesis Global Capital in the Earn-related unregistered securities matter was dismissed with prejudice after the parties filed a joint stipulation on Friday in the U.S. District Court for the Southern District of New York, according to the court filing. A federal judge must sign the stipulation to make the dismissal final.
The suit had been paused in April 2024. The SEC supported dismissal after investors’ crypto assets were returned in-kind through the Genesis bankruptcy process in mid-2024 and after Gemini agreed to contribute up to $40 million to help fund full recovery of those assets. Genesis also settled separately with the SEC, agreeing to pay a $21 million fine.
The SEC originally filed the case in January 2023 as part of an expanded review of crypto platforms. The dismissal adds to a list of crypto-related cases that U.S. agencies have dropped since January 2025, a trend that includes matters involving other major industry players. Separately, the Department of Justice recently dismissed an NFT insider-trading case after an appeals court reversed convictions in that matter.
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