Genesis Global Capital LLC has agreed to pay a $21 million civil penalty to settle charges with the U.S. Securities and Exchange Commission (SEC) over its unregistered crypto lending program, specifically the Gemini Earn program. This settlement, which includes a permanent injunction and follows a federal judge's approval, addresses the SEC's allegations that Genesis engaged in the illegal offer and sale of securities without proper registration. The case, which came to light after Genesis' November 2022 suspension of withdrawals affecting 340,000 customers and $900M in assets, highlights the regulatory scrutiny over crypto asset lending programs. The penalty payment is conditioned on the bankruptcy claims of Genesis being addressed first, ensuring that the settlement does not precede creditor repayments.