New York AG Reaches $2B Settlement Over Genesis Indictment
CryptoNewsTerminal Staff20 May, 2024
New York AG Reaches $2B Settlement Over Genesis Indictment
New York AG's $2B Settlement with Bankrupt Genesis The New York Attorney General's (NYAG) office reached a $2 billion settlement with Genesis, a bankrupt cryptocurrency firm, over last year's lawsuit alleging investor deception. The NYAG accused Genesis, its parent company DCG, and executives of misleading investors about Gemini's Earn program. They claimed that Genesis and DCG diverted over $1 billion from 230,000 investors and concealed $1.1 billion in losses during the 2022 crypto crash. Under the settlement, Genesis is barred from operating in New York, and a victims' fund will be established for over 29,000 New Yorkers affected by the Earn program. Creditors may receive up to $2 billion from Genesis' remaining assets.
