The New York Attorney General's office has secured a significant victory for over 230,000 investors who were affected by Gemini's Earn program. The cryptocurrency platform has agreed to pay $50 million to compensate investors who were misled about the risks associated with the program. This settlement is in addition to a $2 billion agreement with Genesis Global Capital, Gemini's Earn partner, which was reached last month.

Gemini's Earn program was marketed as a way for investors to grow their money, but it was actually a scam that locked investors out of their accounts. The Attorney General's office has been working tirelessly to hold Gemini accountable for its actions. "Gemini broke the trust of hundreds of thousands of people, including at least 29,000 New Yorkers, by lying about its Earn program," said Attorney General Letitia James. "Today's settlement will make defrauded investors whole and serve as a reminder that deceiving investors is illegal and will not be tolerated."

The agreement requires Gemini to return approximately $50 million worth of digital assets directly to Earn investors within seven days. Affected investors will be able to access their digital assets in their accounts without taking separate action. Additionally, Gemini is banned from operating in New York and can no longer offer crypto lending products in the state. The company must also cooperate with the Attorney General's ongoing litigation against Digital Currency Group, its CEO Barry Silbert, and Genesis' former CEO Michael Moro.

This settlement is a significant step towards justice for defrauded investors. It demonstrates the Attorney General's commitment to protecting investors and holding cryptocurrency companies accountable for their actions. The agreement provides full recovery of the assets that investors were unable to withdraw when the program collapsed in November 2022.