Gemini Earn creditors could recover their funds in coin as New York Attorney General recovers $50 million

Source Fxstreet
  • Gemini Earn creditors can be made whole in kind on coin basis post the latest recovery of $50 million.
  • New York Attorney General secured $50 million on behalf of 230,000 investors of the Earn program. 
  • Attorney General Letitia James’ office has previously secured $2 billion in May 2024. 

Gemini exchange had terminated its Earn program after Genesis Global Capital did not return over $900 million in assets that it owed to the platform. New York Attorney General Letitia James’ office has recovered a total of $2.05 billion from the platform, enough to make creditors whole. 

Gemini Earn creditors can be made whole in kind

Gemini exchange’s Earn program resulted in a loss of assets for nearly 29,000 New Yorkers and hundreds of thousands of people, according to the New York Attorney General’s Office. 

In a press release, AG Letitia James said, 

Gemini marketed its Earn program as a way for investors to grow their money, but actually lied and locked investors out of their accounts.

The latest recovery of $50 million now adds to the total of $2.05 billion that the office has secured from Genesis. The funds will be used to reimburse Gemini Earn’s creditors. With the additional $50 million secured, creditors can be made whole on a “coin” basis or in kind. 

AG James said that with the $50 million settlement defrauded investors will be made whole and this should remind cryptocurrency companies that deceiving investors is illegal and will not be tolerated by the New York Attorney General's office. 

The two settlements allege that the platform misled investors of the Earn program. Genesis Global Capital, the company from which the funds have been exacted has been banned from operating in New York. 

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