A federal judge has dismissed a joint request by Gemini Trust Co. and the Commodity Futures Trading Commission (CFTC) to overturn a $5 million settlement. The settlement, reached in January 2025, was part of a Biden-administration enforcement action against the cryptocurrency exchange led by the Winklevoss brothers.
In May, Gemini and the CFTC argued that the settlement violated fundamental principles of fair enforcement. The CFTC claimed an internal investigation revealed inappropriate litigation tactics and asserted that the case would not have been pursued under President Donald Trump, who is known for his more favorable stance toward cryptocurrencies.
The judge’s decision effectively upholds the original settlement, which required Gemini to pay the $5 million penalty. The ruling underscores the legal complexities and shifting regulatory landscape surrounding cryptocurrency exchanges.