US Sues Cryptocurrency Exchange Run by Winklevoss Twins

05 March 2022, Berlin: A coin bearing the logo of the bitcoin cryptocurrency lies on a table. (dpa)
05 March 2022, Berlin: A coin bearing the logo of the bitcoin cryptocurrency lies on a table. (dpa)
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US Sues Cryptocurrency Exchange Run by Winklevoss Twins

05 March 2022, Berlin: A coin bearing the logo of the bitcoin cryptocurrency lies on a table. (dpa)
05 March 2022, Berlin: A coin bearing the logo of the bitcoin cryptocurrency lies on a table. (dpa)

US regulators on Thursday said they are suing the Gemini Trust cryptocurrency exchange, which is run by Cameron and Tyler Winklevoss, for giving misleading answers in 2017 about a bitcoin project.

The Commodity Futures Trading Commission lawsuit filed in federal court in New York accuses Gemini of not being upfront about how easy it would be to manipulate a bitcoin futures project proposed at the time, the agency said in a statement.

The futures contract launched at the end of 2017 and stopped trading two years later, according to blog posts from Gemini and a partner company, AFP said.

Making false or misleading statements to the commission undermines its work to protect market participants, prevent price manipulation, and promote fair competition, acting director of enforcement Gretchen Lowe said in the statement.

"This enforcement action sends a strong message that the Commission will act to safeguard the integrity of the market oversight process," Lowe said.

The US agency is seeking financial penalties, the surrender of any ill-gotten gains, and an injunction forbidding Gemini from such behavior in the future, it said.

Gemini defended its record when asked about the suit.

"We have an eight year track-record of asking for permission, not forgiveness, and always doing the right thing," it told AFP, adding: "We look forward to definitively proving this in court."

Cameron and Tyler Winklevoss, twin Harvard classmates of Mark Zuckerberg, who sued him over claims he stole the idea for Facebook from them, started and run New York-based Gemini.

The brothers told Gemini employees on Thursday that about 10 percent of them were being laid off as staff is trimmed to endure a "crypto winter" likely to persist for a while, according to a copy of the email posted online by the company.

"The crypto revolution is well underway and its impact will continue to be profound, but its trajectory has been anything but gradual or predictable," the brothers said.

The industry is in a "contraction phase that is settling into a period of stasis -- what our industry refers to as 'crypto winter'" compounded by macroeconomic and geopolitical turmoil, they added.



TikTok Says to Increase Investment in Britain

Around half the UK population, more than 30 million people, use TikTok each month. Kirill KUDRYAVTSEV / AFP
Around half the UK population, more than 30 million people, use TikTok each month. Kirill KUDRYAVTSEV / AFP
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TikTok Says to Increase Investment in Britain

Around half the UK population, more than 30 million people, use TikTok each month. Kirill KUDRYAVTSEV / AFP
Around half the UK population, more than 30 million people, use TikTok each month. Kirill KUDRYAVTSEV / AFP

TikTok plans to raise its investment in the UK, its biggest community in Europe, with the creation of 500 more jobs, the Chinese-owned social media giant announced Monday.

The news coincided with the start of London's Tech Week, which sees British Prime Minister Keir Starmer welcoming some of sector's biggest firms.

"TikTok's UK workforce will grow to 3,000 this year with the addition of more than 500 jobs," the company said in a statement.

It added that it was investing in a new London office, set to open next year, and whose size will dwarf its current UK head office.

It will take TikTok's investment in UK infrastructure to around £140 million ($190 million), the group said.

Around half the UK population, more than 30 million people, use TikTok each month, making it the platform's "largest user-community in Europe", the statement added.

"Whether through direct investment in jobs and innovation, or the wider economic contribution from millions of British businesses on TikTok, we're pleased to be increasing our investment and presence here in the UK," said Adam Presser, director of TikTok UK and global head of operations and trust and safety.

TikTok has been in the crosshairs of Western governments for years over fears personal data could be used by China for espionage or propaganda purposes.

"What underpins our continued growth is our deep commitment to safety and to creating an enjoyable and secure digital space to sustainably support creators, entrepreneurs and the wider economy, which is why we also invest significantly in safety," Presser added Monday.