According to co-founder Cameron Winklevoss, the SEC concluded its probe on the bitcoin exchange Gemini and decided not to take any enforcement action. The regulatory body told Gemini’s legal team of its ruling, therefore ending a nearly two-year investigation.
Although Winklevoss underlined that the damage had already been done, he accepted the closure as a step toward removing legislative antagonism toward the crypto sector. He underlined Gemini’s large expenses, including missed innovation and millions in legal expenditures.
“The actions of the SEC have set back not only our company but the whole crypto industry, stifling innovation and economic growth,” Winklevoss said. “This investigation drained time, resources, and opportunities that could have been directed toward innovation.”
Winklevoss maintained that even with the probe ended, regulatory excess should have repercussions. He suggested that government entities should reimburse impacted businesses for their legal expenses and demanded actions to hold them accountable for their protracted and baseless inquiries.
Gemini’s case closes within lines of similar SEC rulings on other crypto companies, including Coinbase, Uniswap Labs, and OpenSea. Although this string of dropped investigations points to a prospective change in regulatory emphasis, Winklevoss argues more has to be done to stop future unnecessary probes.
“Regulatory agencies should not have unbridled authority to launch baseless investigations and walk away without any consequences,” he said. “There has to be a system in place that guarantees equitable control without suppressing creativity.”
Despite the uncertainty of future government regulations impacting the sector, Gemini and other crypto companies anticipate negotiating a more stable regulatory environment, bolstered by their extensive research.
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