Federal Judge Denies Gemini and CFTC Bid to Erase 2025 Settlement

A federal judge has rejected a joint request from cryptocurrency exchange Gemini and the Commodity Futures Trading Commission (CFTC) to overturn a $5 million settlement reached in January 2025. U.S. District Judge Alvin Hellerstein ruled that shifts in the CFTC's enforcement priorities and allegations of misconduct within its enforcement division were insufficient grounds to vacate the deal. Gemini has already paid the $5 million penalty.

The CFTC originally sued Gemini in 2022, alleging the platform made false and misleading statements during a review of a proposed Bitcoin futures contract, according to Moneyweb. The regulator later stated the case should never have been brought. An internal agency review cited misconduct including improper regulatory pressure, efforts to prevent evidence disclosure, and reliance on a questionable whistleblower.

The ruling leaves in place a permanent injunction barring Gemini from making false or misleading statements to the CFTC. The settlement also includes a prohibition against Gemini publicly denying the findings, though the CFTC stated in June that it would no longer enforce such restrictions. Cointelegraph reported that the regulator previously indicated the $5 million penalty would not be refunded even if the settlement were overturned.

Brief written by urgent.news from PYMNTS, Decrypt, CoinDesk, Moneyweb, Cointelegraph — 5 reports on this story. Machine-written — may contain errors; check the original before relying on it.