Consumer Law

Crypto Exchange Gemini Faces a $36M Lawsuit Over Negligence

A retirement account trust company is suing the crypto exchange Gemini for failing to have the “proper safeguards in place” to protect its customers’ assets.

IRA Financial Trust alleges hackers stole $36 million in crypto assets belonging to their customers’ retirement accounts which were reportedly in Gemini’s custody.

The South Dakota-based trust company has pledged to use proceeds from the lawsuit to reimburse the impacted customers. The firm claims Gemini’s Application Programming Interface (API) had a single point of failure, and that the exchange’s system had a “sweeping vulnerability that allowed for a breach of a single customer account to metastasize across all accounts.”

Read the source article at dailyhodl.com

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