Gemini is being sued for allegedly misleading investors about its business model following its IPO. The lawsuit claims the company abruptly shifted focus to prediction markets and experienced significant executive turnover.
Gemini has been hit with a proposed class action in New York, accusing it of misleading investors during and after its September initial public offering. The lawsuit, filed by shareholders in a Manhattan federal court, targets Gemini and its co-founders, Tyler and Cameron Winklevoss. It alleges that the IPO documents misrepresented the company's direction, portraying it as a growing crypto exchange while it shifted to a prediction-market-centric model.