Gemini Gains Crypto Licenses in Italy and Greece

Its crypto lending arm is in trouble after suspending withdrawals.

Gemini, the cryptocurrency platform backed by the Winklevoss twins, has received regulatory approval in Italy and Greece, thus continuing its European expansion.

Announced on Wednesday, the crypto platform is now a registered virtual currency operator with Italy's payments services regulator, the Organismo Agenti E Mediatori (OAM), and also a provider of custodial wallet and crypto-fiat exchange services with Greece's Hellenic Capital Markets Commission (HCMC).

Official records show that Gemini gained the OAM registration on November 9, while HCMC approved it on November 7. The Central Bank of Ireland also regulates the platform, and the two new permissions have bolstered its European presence

"Strong regulatory compliance has always been a core tenet of Gemini's ethos; we believe that the long-term success and integrity of crypto markets and companies in the space depend on it. Most importantly, by working proactively with regulatory bodies throughout the world, we can ensure that we are continuing to place regulatory compliance at the heart of our products," Gemini stated.

Gemini is now operating across 65 countries. The majority of them are in Europe, including Croatia, Cyprus, Czech Republic, Denmark, Hungary, Ireland, Latvia, Liechtenstein, Portugal, Romania, Slovenia, and Sweden.

"We're excited about the momentum in our European rollout, which is in line with our goal to bring accessible, secure cryptocurrency services to consumers, corporations, and institutions around the world," the exchange added.

Troubled Lending Business

Gemini gained both licenses for Italy and Greece ahead of its lending business which was running into troubles. Gemini Earn, which offers 8 percent interest on crypto deposits, halted withdrawals due to its exposure to the troubled crypto trading firm, Genesis Global Capital. Gemini's lending platform allegedly holds $700 million in locked customer assets.

Meanwhile, Genesis sought a $1 billion emergency fund before suspending customers' withdrawals last month. The platform was experiencing a 'liquidity crunch', and a spokesperson confirmed that talks were ongoing between the company and potential investors.