As part of its agreement with the Securities and Exchange Commission, Genesis Global Capital has agreed to pay a $21 million fine for violating securities laws.
The company was accused of selling unregistered securities through its Gemini Earn product, and a permanent injunction has been issued.
However, the payment to the SEC will only be made once all claims by the bankruptcy court have been settled, including those made by retail investors who were affected by Gemini Earn.
SEC Chairman Gary Gensler emphasized the importance of complying with securities laws, stating that it protects investors and promotes trust in the markets. He made clear that these laws are not optional, but rather a requirement that must be followed by all crypto lending platforms and intermediaries.
