The Commodity Futures Trading Commission (CFTC) has sued the Winklevoss brothers’ exchange Gemini.
According to Bloomberg’s report, the CFTC has sued the exchange for misdirecting the Gemini exchange regarding the nature of the regulatory Bitcoin futures contract.
Allegedly, Gemini made false statements about its operations in meetings with CFTC personnel.
Chicago-based Cboe Global Markets announced the launch of Bitcoin futures in early December 2017. The asset’s value at that time was approaching the peak of the previous cycle.
Cashed contracts were based on the Gemini exchange’s auction price for Bitcoin.
The lawsuit, filed in Manhattan federal court, did not disclose whether the venture was linked to this important partnership.
Cboe discontinued Bitcoin futures in March 2019, stating that how to approach the crypto industry needs to be evaluated. At that time, the stock market’s decision was attributed to the declining demand for crypto.
Kraken executive believes that Cboe’s halting of Bitcoin futures isn’t just because of demand.
Gemini announced earlier in the day that it laid off 10% of its staff, citing unfavorable market conditions. It is not known whether these layoffs are related to the lawsuit filed by the CFTC.
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