Foreign stock trading federations today sued password trading group companies Gemini and Genesis, according to the Financial Times. The complaint is made specifically for the Gemini income plan, which allows password traders to earn loan interest from the password OTP they store. SEC claims that the data encryption loan program provided by Gemini did not properly apply for registration as a securities.

Trend: Barry Silbert's DCG owes the debtor more than $3 billion

Gemini and Genesis 1 in SEC scanners

Earlier today, the SEC audit announced that Gemini and the Genesis Group sued for failing to properly register its password borrowing program as a securities. SEC claims that Gemini helps with the program, paying 4.29% of the agency fee.

During the difficult period of FTX, Genesis forbids withdrawing cash on the grounds that the collapse of the password sales market has led to insufficient settlement. Since then, investors have so far been unable to withdraw assets.

It is worth mentioning that Gemini founders Cameron Winklevoss and DCGCEO Barry Silbert have already reached a crossroads. In a recent announcement of a power outage, the Gemini founder ordered the dismissal of Barry Silbert. The DCG Group owns Genesis, its news media CoinDesk and investment consulting firm GrayScale.

He said: