Judge refuses to let Gemini and CFTC undo $5 million settlement

Gemini and the Commodity Futures Trading Commission finally found something to agree on. A federal judge in New York was not persuaded. On October 15, 2026, US District Judge Alvin K. Hellerstein denied a joint motion from Gemini Trust Company and the CFTC to vacate a consent order entered in January 2025. That order carried a $5 million civil monetary penalty and a permanent injunction. Both remain in effect. What the court decided The case sits in the Southern District of New York. Gemini and the CFTC jointly asked the court to wipe out the consent order that ended their dispute. Judge Hellerstein ruled that the two sides failed to show sufficient grounds for vacatur under Federal Rule of Civil Procedure 60. Rule 60 is the provision courts use when a party wants to undo a final judgment. The judge put weight on the timeline. Gemini voluntarily agreed to settle just three weeks before the case was scheduled to go to trial. The arguments offered for reversal centered on internal CFTC reviews and shifts in digital asset policy. In the court’s view, those points did not satisfy the strict requirements for reopening a settled judgment. The $5 million penalty has already been paid. No ...