This could completely close the chapter on allegations tied to the Gemini Earn Program. At the same time, Robinhood is seeking SEC approval for a new venture fund that would list on the NYSE and give retail investors access to early-stage companies, a space traditionally limited to institutions.
Gemini and SEC Reach a Deal
The long-running legal battle between the US Securities and Exchange Commission (SEC) and Gemini Trust Company seems to be approaching a close after the two parties filed a joint status update in federal court. The filing was submitted to the US District Court for the Southern District of New York, and the SEC and Gemini informed the court that they reached a “resolution in principle” in the securities case that was first brought against Gemini and Genesis Global Capital in January of 2023.
Both sides requested that litigation in the matter be indefinitely stayed, pending commission review and approval. There is also an agreement to provide another status report if no resolution is finalized by Dec. 15.
(Source: SDNY)
The SEC’s 2023 complaint accused Genesis and Gemini of engaging in an unregistered offer and sale of securities through the Gemini Earn Program between February 2021 and November 2022. The program allegedly raised billions of dollars in crypto assets from US retail investors, who were promised interest payments without the companies registering the product under securities law. The regulator argued that investors were deprived of critical disclosures required by law and were instead given only partial and inadequate information. The SEC further claimed that participants did not have the material facts needed to make informed investment decisions.
The case already saw some major developments. In 2024, the SEC announced a $21 million settlement with Genesis, while in February of that same year, under acting chair Mark Uyeda, the agency notified Gemini that it will not recommend pursuing an enforcement action tied to a separate investigation. This latest filing suggests that Gemini is now on the verge of closing the chapter on its own securities dispute with the commission.
At the same time, Gemini continued to deepen its political and financial profile despite its legal issues. The firm’s co-founders, Cameron and Tyler Winklevoss, were major backers of Donald Trump’s 2024 presidential campaign and have maintained close ties with his administration. The twins even attended the signing of the GENIUS stablecoin bill and lobbied the White House to reconsider the nomination of Brian Quintenz as chair of the Commodity Futures Trading Commission.
Recently released text exchanges from July showed discussions between Quintenz and the Winklevosses over enforcement assurances tied to his stalled nomination. Meanwhile, Gemini moved ahead with its initial public offering last week, and raised roughly $425 million from the sale of 15.2 million shares.
Robinhood Seeks SEC Nod for VC Fund
Meanwhile, Robinhood is looking to open up the world of venture capital to everyday investors with a new fund that could give retail traders access to opportunities that are usually reserved for institutions and the wealthy. On Monday, the brokerage revealed it filed a Form N-2 with the SEC to register shares of the Robinhood Ventures Fund I (RVI), which would be managed by its newly formed subsidiary, Robinhood Ventures DE. If approved, the shares will be listed on the New York Stock Exchange and available for trading through participating brokerage platforms.
The company said the fund will target firms “at the frontiers of their respective industries,” but did not identify specific sectors. Venture capital typically focuses on high-growth fields like artificial intelligence, blockchain, and Web3, areas where Robinhood has already been expanding.
In the past few years, the brokerage added cryptocurrency trading, acquired exchange Bitstamp, and purchased Canadian crypto firm WonderFi for $179 million. It also experimented with tokenization, offering tokenized stocks and developing private stock tokens, which has attracted some scrutiny from people who are concerned about potential regulatory challenges.
This latest plan comes as venture capital funding is rebounding strongly. According to S&P Global, global VC investment reached $189.3 billion in the first half of 2025, up from $152.4 billion in the same period last year. Artificial intelligence startups led the surge, but crypto has also seen a sharp comeback, with $10 billion raised in the second quarter alone, the strongest performance since 2022. Tokenization, stablecoin infrastructure, and decentralized finance have been central themes in the sector’s growth.
Monthly VC investments (Source: S&P Global)
For retail investors, however, access to these high-risk, high-reward early-stage deals has long been restricted by US securities laws, which generally limit participation to accredited investors. Robinhood’s proposed venture fund will offer a rare chance for retail traders to gain indirect exposure to a class of investments that has historically been closed off to them.
