JPMorgan ends banking relationship with Gemini
U.S. banking giant, JPMorgan (JPM) is ending its banking relationship with the crypto exchange, Gemini.
By Anna B Kiwanuka
JPMorgan is dissolving its banking partnership with cryptocurrency exchange Gemini, according to Coindesk. Moreover, the banking giant had first taken on both Gemini and Coinbase as customers in 2020, with the latter continuing work with the banking firm.
The US Securities and Exchange Commission (SEC) has been conducting some regulatory investigations on Gemini. Although no formal statement regarding the decision has been made, it appears that the regulatory concern underlined the reasoning behind the severe relationship.
The situation was reported based on information gathered from an individual familiar with the situation. Additionally, the crypto exchange owned by Cameron and Tyler Winklevoss has seen plenty of headlines to start the year due to various regulatory issues they have been confronted with.
Currently, only Coinbase has commented on the reports, stating it maintains a banking relationship with JPMorgan. Alternatively, Coindesk notes that the development marks an ongoing trend, showcasing crypto companies having greater difficulty accessing banking services.
They also noted that Gemini has other banking options at its disposal. Specifically, they maintain a relationship with State Street banks, according to the exchange’s website. However, the bank has yet to comment on whether it would be altering the status of the company’s banking relationship based on unearthed information.