Winklevoss Twin-guided Gemini is the newest crypto company that shuts the check of the US Securities and Exchange Commission, because the agency closed its probe after almost two years.
According to co-founder Cameron Winklevoss, the Commission has decided not to take an enforcement action against Gemini almost 700 days after starting her research and 277 days after giving a wells knowledge.
In January 2023, Gemini was originally charged alongside Genesis Global Capital on the Earn program that has now been defined, which, according to the SEC, concerned the sale of unregistered effects. The program enabled users to borrow Crypto assets in exchange for yield, but collapsed after Genesis stopped the recordings during the 2022 bear market.
Although the case is now closed, the SEC has made it clear that this is not an official exemption and had left the door open for future action.
Winklevoss mentioned the recent development a milestone when terminating the “War on Crypto”, but argued that it does little to reverse the “tens of millions of dollars of legal accounts” and the broader setbacks on industry.
“The behavior of the SEC in total to other crypto companies and projects cost orders of size more and did not cause quantifiable loss in economic growth for America,” he added.
Winklevoss did not stop when criticizing the SEC – he explained a few ideas to prevent similar alignment in the future.
He called for reimbursement measures and argued that companies that are caught in regulatory fighting must be compensated three times if an agency does not establish clear rules before they have started an investigation.
He also proposed a policy for ‘unfair dismissal’, in which SEC officers who are involved in what he sees as unfounded enforcement actions are publicly dismissed, with their names and roles on the website of the agency.
Winklevoss also proposed a ban on the office, where supervisors who have armed the law would be permanently excluded from covering government positions.
“Just like the SECIST Persons of the actions of effects when they violate the law, there should be a process that those such as Gary Genler are lacking who are armed the law, as well as those participating in the armament, from once appointed or accepted by an agency,” he added.
Under former SEC chairman Gary Gensler, the agency took an aggressive attitude against the crypto industry, which brought more than 100 enforcement actions against companies since 2021. His term of office saw lawsuits against large companies, including Coinbase, Binance, Ripple and Kraken, about accusations of operation as non -registered securities platforms.
The approach of Gensler, often criticized as ‘regulation through enforcement’, led to legal fights that formed the relationship of industry with supervisors.
Since Gensler’s departure in January, the SEC has started to return his crypto disputes. In February the agency closed its research into Coinbase, OpenSea, Uniswap Labs and Robinhood Crypto.
