Gemini, the Winklevoss brothers’ cryptocurrency exchange, continues its expansion into Europe, announcing new regulatory approvals in Italy and Greece.
Gemini has registered as a virtual currency broker with the Agency Agent and Mediator (OAM) from Italy, the company announced on November 30.
The exchange has also received registration as a virtual currency exchange and custodial wallet provider on the Hellenic Capital Markets Commission (HCMC) from Greece.
According to official data, the OAM registration was issued on November 3, while the HCMC granted approval to Gemini on November 7.
The new records, combined with the authorization of Gemini as an electronic money institution by the Central Bank of Ireland, officially allow the exchange to provide cryptocurrency services to clients in Italy and Greece. The approvals are also intended to demonstrate Gemini’s compliance with applicable Italian and Greek anti-money laundering and terrorist financing regulations.
By November 2022, Gemini is operating in more than 65 countries, including new jurisdictions such as Croatia, Cyprus, the Czech Republic, Denmark, Hungary, Ireland, Latvia, Liechtenstein, Portugal, Romania, Slovenia, Sweden and others, the firm said.
The new authorizations came before Gemini ran into major problems with its lending platform known as Gemini Earn, which is designed to allow investors to earn 8% interest by lending their cryptocurrencies. The product has reportedly suspended withdrawals due to its connection to troublesome cryptocurrency trading firm Genesis Global Capital, in which Gemini allegedly has $700 million of locked-up customer money.
According to the Gemini state, Gemini Earn began experiencing deposit issues on November 16, a few days after news broke about FTX’s liquidity problems. At the time of writing, the product is still unavailable, while all other Gemini services, including the trading engine, Gemini card, and others, are working as normal.
Gemini Earn launched in 2021 in the United States, serving through a partnership with Genesis Global Capital, which halted withdrawals on November 16 as a result of the ongoing FTX contagion.
“We continue to work with Genesis Global Capital – a lending partner of the Earn program – and its parent company Digital Currency Group to find a solution for Earn users to withdraw their funds,” said Gemini in a November 21 tweet.
On November 29, Gemini also took to Twitter to announce Gemini Trust Center, assuring its clients that their account assets are segregated from Gemini’s assets. “Gemini is an exchange and custodian with full reserves. This means that all client funds held on Gemini are held 1-to-1 and are available for withdrawal at any time,” stressed the company.
As previously reported, Gemini was one of the exchanges affected by the current bear market, laying off as much as 20% of its staff this year. The exchange is also among the platforms targeted by the United States Senate Finance Committee as part of the request for information on customer protection measures following the FTX collapse.
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