Just three days after facing legal action from Commodity Futures Trading Commission (CFTC), another Gemini lawsuit is here again. This time, IRA, a platform for self-directed retirement and pension accounts, is suing Gemini.
On June 3, the CFTC alleged that IRA made misleading statements and omissions pertaining to a Bitcoin futures contract. Between July 2017 and December 2017, Gemini made false statements during evaluation of the self-certification of the contract.
Gemini Lawsuit On Theft of $36 million
The IRA Financial Trust filed a lawsuit against Gemini over an alleged theft of $36 million of crypto assets. In February 2022, the theft of assets in Gemini’s custody belonged to customer retirement accounts, it claimed.
“IRA Financial Trust has been working to find resolution for its impacted customers since this incident occurred and is pledging to use the proceeds from the lawsuit to reimburse IRA Financial customers impacted by the February 8, 2022, incident.”
In the lawsuit, IRA alleges that Gemini did not have proper safeguards in place to protect customer crypto assets. It also claims that Gemini failed to freeze accounts within a sufficient timeframe immediately following the incident. This allowed the criminals to continue moving funds out of customers’ accounts after IRA notified Gemini, it added.
