{"id":32416,"date":"2025-06-18T09:31:32","date_gmt":"2025-06-18T09:31:32","guid":{"rendered":"https:\/\/dogewisperer.com\/?p=32416"},"modified":"2025-06-18T09:31:32","modified_gmt":"2025-06-18T09:31:32","slug":"crypto-exchange-gemini-accuses-cftc-of-lawfare-campaign-toxic-culture-in-new-complaint","status":"publish","type":"post","link":"https:\/\/dogewisperer.com\/?p=32416","title":{"rendered":"Crypto Exchange Gemini Accuses CFTC Of Lawfare Campaign, \u2018Toxic Culture\u2019 In New Complaint"},"content":{"rendered":"
\n

Gemini has accused the Commodity Futures Trading Commission (CFTC) staff of waging a \u201ctrophy-hunting lawfare\u201d campaign based on \u201cfabricated\u201d statements and unfairly weaponizing the Commodity Exchange Act (CEA) against the crypto exchange for over seven years.<\/p>\n

Gemini Slams DOE Staff Conduct<\/h2>\n

Last week, Gemini Trust sent a letter to the Commodity Futures Trading Commission\u2019s\u00a0Inspector General, Christopher Skinner, to raise multiple concerns and complaints about the agency\u2019s Division of Enforcement (DOE) conduct against the crypto exchange over the past seven years.<\/p>\n

The June 13 letter accuses the DOE staff of \u201cselectively and unfairly\u201d weaponizing the Commodity Exchange Act to \u201cbring dubious false statements charges against Gemini Trust\u201d and \u201ctaking a series of legal positions that are contrary to basic principles of due process and good governance.\u201d<\/p>\n

\"Gemini\"<\/p>\n

In 2022, the CFTC sued Gemini, claiming that the exchange issued \u201cfalse and misleading statements\u201d regarding its actions to prevent\u00a0market manipulation\u00a0in Bitcoin (BTC) prices in 2017. \u00a0The complaint alleged that the crypto exchange gave deceiving information to the CFTC as it evaluated a possible self-certification for a BTC futures contract.<\/p>\n

In January 2025, Gemini Trust agreed<\/a> to pay $5 million to the CFTC to resolve the allegations. However, it claims in Friday\u2019s letter that it didn\u2019t settle because it had done anything wrong, but rather \u201cbecause it had no other choice\u201d at the time.<\/p>\n

According to Gemini, the agency\u2019s staff conduct over the past seven years shows that its \u201ctrophy-hunting lawfare\u201d was not motivated by a desire to protect the commodities markets. Instead, it was allegedly driven by the DOE personnel\u2019s \u201cselfish desire to advance their careers by misusing their offices to obtain a high-profile \u2018win.\u2019\u201d<\/p>\n

Additionally, the company argues that the DOE ignored the fact that Gemini Trust was \u201cthe victim <\/em>of fraudulent activity by multiple bad actors\u201d or that the claims originated from a \u201clie-riddled whistleblower submission by a discredited former employee,\u201d former CPO Benjamin Small, who reportedly embarked on a \u201cvindictive campaign\u201d after he was fired.<\/p>\n

Based on this, the letter claims that the DOE Staff consistently abused their office and willingly burned millions of dollars of taxpayer money to sue an \u201cinnocent party\u201d and \u201cpursue fabricated and manufactured claims against Gemini Trust.\u201d<\/p>\n

CFTC To Restore Regulatory Clarity<\/h2>\n

The crypto exchange also claimed that \u201cthere is something deeply wrong with the DOE and its culture,\u201d adding that it is well known that the division is \u201cout of control\u201d with a \u201ctoxic\u201d philosophy.<\/p>\n

They consider that the public statements and remarks from CFTC acting chair Caroline Pham have shown how the DOE \u201chas lost its way.\u201d Recently, she criticized the previous administration\u2019s \u201cregulation by enforcement\u201d approach, affirming that the agency is working to restore regulatory clarity.<\/p>\n

As reported<\/a> by Bitcoinist, Pham slammed the Securities and Exchange Commission (SEC) and the CFTC\u2019s previous reinterpretation of existing laws to persecute what they perceived as \u201cbad\u201d or \u201cevil\u201d sectors, like crypto and blockchain technology.<\/p>\n

The agency\u2019s acting chair claimed that the CFTC will no longer \u201ctwist the law to criminalize an asset class or a technology,\u201d focusing instead on its \u201ccore mission\u201d to catch bad actors and prevent fraud, manipulation, and scammers in the market.<\/p>\n

However, she clarified that regulations<\/a> won\u2019t be easy on the crypto industry, or anybody, despite the agency\u2019s new pro-innovation approach. As such, \u201crestoring the well-settled legal precedents, how the CFTC has applied and interpreted the law for decades,\u201d has been a priority under her leadership.<\/p>\n

Gemini Trust concluded in the letter that the CFTC\u2019s transformation \u201cwill require serious introspection and long-term commitment from the agency as a whole to ensure that this bad-faith behavior never happens again,\u201d and offered to \u201cassist the Commission and Inspector General in whatever capacity they would deem helpful.\u201d<\/p>\n

\"Gemini,<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

Gemini has accused the Commodity Futures Trading Commission (CFTC) staff of waging a \u201ctrophy-hunting lawfare\u201d campaign based on \u201cfabricated\u201d statements and unfairly weaponizing the Commodity Exchange Act (CEA) against the crypto exchange for over seven years. Gemini Slams DOE Staff Conduct Last week, Gemini Trust sent a letter to the Commodity Futures Trading Commission\u2019s\u00a0Inspector General, […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"iawp_total_views":0,"footnotes":""},"categories":[2],"tags":[3,4,5],"class_list":["post-32416","post","type-post","status-publish","format-standard","hentry","category-news","tag-crypto","tag-doge","tag-news"],"_links":{"self":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/32416","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=32416"}],"version-history":[{"count":0,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/32416\/revisions"}],"wp:attachment":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=32416"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=32416"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=32416"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}