The US Commodity Futures Trading Commission (CFTC) has filed a lawsuit against the Gemini cryptocurrency exchange. The lawsuit claimsthat the company “misled regulators in answering questions about a futures contract linked to the price of Bitcoin on the Gemini platform,” reports Bloomberg.
</p>According to the agency, the lawsuit was filed with the federalcourt in Manhattan. According to the document, in July-December 2017, at meetings with CFTC employees, company representatives “made false and misleading statements” regarding the activities of the Gemini Bitcoin Auction platform and product.
“This bitcoin-based futures contract hadof particular importance as it was to be one of the first digital asset futures to be listed on a purpose-built contract market at a time when investors showed strong interest in accessing bitcoin through derivatives markets,” the CFTC lawsuit says.
The Gemini Bitcoin Auction price discovery engine was used in the Chicago Board Options Exchange (CBOE) Bitcoin futures settlement when the product launched in 2017.
In 2019, amid a bear market and competition from the CME, the platform delisted the instrument.
In May 2022, CFTC Commissioner Caroline Pham compared cryptocurrencies to lottery tickets.
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