Gemini denies rumors, claiming that its "banking relationship remains intact with JPMorgan."
Gemini, a Tyler and Cameron Winklevoss-owned crypto exchange, denied rumors that it had ended its partnership with the United States bank JPMorgan (JPM).
Regarding the rumors about JPMorgan cutting ties with Gemini, the crypto exchange denied the allegations in a short and simple message.
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Gemini's spokesperson revealed that “<company's> partnership with the US banking giant, JPMorgan, is not ending anytime soon.”
The news was confirmed on Twitter, with the company noting:
Despite reports to the contrary, Gemini's banking relationship remains intact with JPMorgan.
The rumors have gained a lot of attention in the cryptocurrency space amid the issues surrounding the crypto industry and its future with the banking sector in the US.
Recently, the United States and global regulators have increased the pressure on the market. The new stricter regulations started appearing after the crypto exchange FTX crashed in late 2022. The collapse forced many banks to walk away from their partnerships with crypto-related firms.
Silvergate Bank, another US banking giant, is one of the banks caught up in these crypto-bank partnership regulations. On March 3rd, Silvergate discontinued its payment platform Silvergate Exchange Network (SEN) and is now set to be voluntarily liquidated by Silvergate Capital Corporation.
It is worth noting that in 2020, crypto exchanges Gemini and Coinbase became partners with JPMorgan.
Last year was a rather rough year for the whole crypto industry. The events in the sector led to many companies facing financial scandals and filing for bankruptcy. All these incidents have led to the rise of stringent regulations around crypto assets and their transactions.
In the most recent UK House of Commons Treasury Committee hearing, the country's Financial Conduct Authority (FCA) urged authorities to launch stricter crypto regulations.