CFTC Sues Gemini Exchange

The U.S. URGE-FIRE TRAVICE (CFTC) sued the Gemini cryptocurrency exchange due to the fact that the company “misleads the regulator, answering questions about a futures contract, attached to the price of bitcoin on the platform.”

According to Bloomberg, the lawsuit will be considered by the Federal Court of Manhattan. According to the document, representatives of the company “made false and misleading statements” regarding the activities of the platform and product Gemini Bitcoin Actions in July-December 2017 at meetings with CFTC employees.

A futures contract based on bitcoin, which is discussed in the lawsuit, was to be one of the first futures on digital assets placed on a specially created market for the market. In addition, investors showed great interest in access to bitcoin through derivatives markets.

The mechanism for determining the price of Gemini Bitcoin Actions was used in calculated futures for the Bitcoin Chicago Exchange Exchange (CBOE), when the product was launched in 2017.

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