thecoinrepublic.com
- More burdensome regulations forced the exchange to leave its native country.
- The Bitcoin perpetual contract denominated in GUSD will be Gemini’s first product.
Gemini, the cryptocurrency exchange owned by the Winklevoss brothers, announced that it is launching its non-US crypto derivative platform. In a blog, the exchange noted that its first product would be a Bitcoin perpetual contract denominated in GUSD, the native token of Gemini.
After successfully launching the BTC perpetual contract, the exchange plans to launch the ETH/GUSD perpetual contract. It is important to note that none of Gemini’s services will be available in the United States and to its citizens.
Exchange’s eligible customers can leverage their crypto holdings to achieve long or short crypto exposure to manage risk, generate returns and gain directional exposure.
The exchange noted that it would be available for customers in Hong Kong, South Korea, Turkey, Brazil, Bhutan, Chile, Bermuda, Singapore, Argentina, Bahamas, British Virgin, and other nations globally.
The decision to launch an offshore derivatives platform came after the together rules and regulations in its native country. It does not mean that establishing its offshore exchange somewhere else will help them stay out of US regulators’ reach. Similarly, FTX was based in the Bahamas then; its founder Sam Bankman Fried is facing criminal charges in the US.
Earlier in January 2023, the crypto exchange and Genesis, owned by Digital Currency Group, were accused by SEC(Securities and Exchange Commission) of allowing the trading of unregistered securities. The majority of Shares of Gemini are still held by its co-founders Cameron Winklevoss and Tyler Winklevoss; they established the crypto exchange in 2014.
Earlier on April 14, 2023, TheCoinRepublic reported that Gemini had applied for pre-registration to operate as a cryptocurrency exchange in Canada. In its blog, the crypto exchange said it had submitted a pre-registration undertaking to the Ontario Securities Commission to register as a restricted dealer with OSC.
According to geological data, Ontario is the second largest and one of the most populous provinces of Canada, having 38% of the total Canadian population.
In the second week of April 2023, the co-founders of Gemini collectively loaned $100 million to their struggling exchange. Notably, no data is available to relate the $100 Million loan and $100 Million Earn commitment.
Disclaimer
The views and opinions stated by the author, or any people named in this article, are for informational purposes only and do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.