Crypto Flexs
  • DIRECTORY
  • CRYPTO
    • ETHEREUM
    • BITCOIN
    • ALTCOIN
  • BLOCKCHAIN
  • EXCHANGE
  • ADOPTION
  • TRADING
  • HACKING
  • SLOT
Crypto Flexs
  • DIRECTORY
  • CRYPTO
    • ETHEREUM
    • BITCOIN
    • ALTCOIN
  • BLOCKCHAIN
  • EXCHANGE
  • ADOPTION
  • TRADING
  • HACKING
  • SLOT
Crypto Flexs
Home»TRADING NEWS»New York AG lawsuit, lawsuit against DCG and Genesis modified
TRADING NEWS

New York AG lawsuit, lawsuit against DCG and Genesis modified

By Crypto FlexsFebruary 10, 20242 Mins Read
Facebook Twitter Pinterest LinkedIn Tumblr Email
New York AG lawsuit, lawsuit against DCG and Genesis modified
Share
Facebook Twitter LinkedIn Pinterest Email

New York Attorney General Letitia James has amended her lawsuit against Digital Currency Group (DCG) and its affiliate Gemini Trust Co., increasing the damages claim to $3 billion.

The extended lawsuit was filed just hours after Genesis Global reached a settlement with New York over allegations it defrauded customers through its terminated Gemini Earn program. The settlement reflects claims from more than 230,000 investors, indicating the scale of the alleged fraud is much larger than previously thought, according to recent court filings.

The lawsuit originally sought $1.1 billion last October, but that figure was increased following new investor testimony about misleading assurances about the safety of their investments.

After we filed the lawsuit @DCGco and @GenesisTrading More victims are reporting serious losses due to cryptocurrency scams.

Today we expanded our case against a cryptocurrency company that defrauded hundreds of thousands of people out of over $3 billion. https://t.co/019TM4hmnj

— NY AG James (@NewYorkStateAG) February 9, 2024

The legal action does not bring new charges against Gemini, but focuses on claims that Gemini and its DCG unit, Genesis Global Capital, failed to inform investors about the risks associated with a cryptocurrency lending program that launched in 2021. The program’s downfall coincided with a major bankruptcy. Within the cryptocurrency industry, including the collapse of FTX, led by Sam Bankman-Fried.

What is the lawsuit against Gemini and Genesis?

The Gemini Earn program was a collaboration between Gemini and Genesis. It reportedly offered customers interest rates of up to 8% on cryptocurrency asset loans.

But the state’s lawsuit alleges that significant investments were made in unsafe ventures, including the bankrupt Three Arrows Capital and Babel Finance, which lost more than $100 million, significantly impacting Genesis’ financial stability.

The suit also alleges that Gemini, founded by the famous Winklevoss twins, failed to fully disclose the risks associated with its loans. In particular, they failed to highlight that much of the third-party lending was made to Alameda Research, owned by Sam Bankman-Fried.

This led to further accusations that Genesis and DCG were trying to hide the extent of their financial difficulties from investors.

Follow us on Google News

Share. Facebook Twitter Pinterest LinkedIn Tumblr Email

Related Posts

XRP price prediction by reducing the volume of RLUSD (RIPPLE USD)

June 7, 2025

Why is the ecosystem of the SEI network boom in the second quarter?

June 6, 2025

Why is the ecosystem of the SEI network boom in the second quarter?

June 6, 2025
Add A Comment

Comments are closed.

Recent Posts

ETF publisher’s latest warning -SEC’s approval process ‘Innovation, AIDS GIANTS’

June 7, 2025

Solana (SOL) introduces Alpenglow for faster blockchain agreement.

June 7, 2025

The Foresight Ventures report shows a collection shift where more than 32,000 sellers around the world accept encryption.

June 7, 2025

$ AB is live on Binance, guiding the new era of new cross chain asset mobility.

June 7, 2025

Trump memoin is faced with a $ 520m lock in July and the price drops by 85%.

June 7, 2025

Vaneck launches GPZ ETF for alternative asset managers.

June 7, 2025

Apple, X, Airbnb Eye Stablecoin Integration

June 7, 2025

Strategy to raise almost $ 1B by STRD priority proposal for BTC accumulation

June 7, 2025

Hash research CEO is appointed chief policy officer at the presidential office

June 7, 2025

Thorchain integrates the director of the XRP to facilitate the distributed swap.

June 7, 2025

Thorchain integrates the director of the XRP to facilitate the distributed swap.

June 7, 2025

Crypto Flexs is a Professional Cryptocurrency News Platform. Here we will provide you only interesting content, which you will like very much. We’re dedicated to providing you the best of Cryptocurrency. We hope you enjoy our Cryptocurrency News as much as we enjoy offering them to you.

Contact Us : Partner(@)Cryptoflexs.com

Top Insights

ETF publisher’s latest warning -SEC’s approval process ‘Innovation, AIDS GIANTS’

June 7, 2025

Solana (SOL) introduces Alpenglow for faster blockchain agreement.

June 7, 2025

The Foresight Ventures report shows a collection shift where more than 32,000 sellers around the world accept encryption.

June 7, 2025
Most Popular

AAVE Head Aptos: Will this high -speed expansion trigger 30% rally?

April 17, 2025

StableLabs Audit Summary – Ackee Blockchain

September 15, 2024

Pioneering digital artist Andries Odendaal launches FABRIK, a generative art collection

May 1, 2024
  • Home
  • About Us
  • Contact Us
  • Disclaimer
  • Privacy Policy
  • Terms and Conditions
© 2025 Crypto Flexs

Type above and press Enter to search. Press Esc to cancel.