The US CFTC admits the 2022 lawsuit against Gemini "should never have been brought," and has jointly applied with Gemini for a waiver of judgment.

CoinFeed reported on May 28 that the U.S. Commodity Futures Trading Commission (CFTC) announced today that it has jointly filed for a waiver of judgment with Gemini in its lawsuit against Gemini Trust Company LLC. The case was filed in June 2022, and the two parties reached a settlement agreement in January 2025. After a comprehensive review, the CFTC determined that the case should not have been brought to court and would not have been brought under current enforcement standards. The review identified six major issues: the indictment was primarily based on a whistleblower statement known to lack credibility; the investigation focused not on the alleged fraudsters but on Gemini, the alleged victim; the strength of the evidence against Gemini was questionable; key evidence was not provided to the commissioners during the vote; litigants used deliberative privilege to prevent Gemini from obtaining evidence for its defense; and certain individuals improperly used CFTC regulatory power to create pressure for a settlement.