Dan Chen, who previously served as the vice president of capital markets and bank partnerships at the buy now, pay later (BNPL) company Affirm, has joined US-based crypto exchange Gemini as its Chief Financial Officer (CFO).
Gemini Gears Up For IPO As Chen Takes Helm
In his announcement, Chen expressed enthusiasm about joining Gemini at a time when the cryptocurrency industry is experiencing substantial growth. “Crypto is the most dynamic sector in finance, and Gemini is at the forefront of this revolution — making it simple and secure to engage on the digital asset frontier,” he stated.
Prior to his role at the trading platform, Chen spent three years at Affirm, which went public in 2021 with an IPO that valued the BNPL provider at $24 billion. His career began at the Big Four accounting firm PricewaterhouseCoopers, and he has held various executive positions, including CFO roles at Nearside.
Additionally, Chen served as treasurer for Cross River Bank and has held roles at MetLife Investments and Morgan Stanley. Gemini, on the other hand, founded by brothers Cameron and Tyler Winklevoss, is reportedly preparing for an initial public offering (IPO).
According to a Bloomberg report, the New York-based exchange has confidentially filed for its IPO, working with banking giants Citigroup and Goldman Sachs.
Chen’s appointment also comes at a crucial time for Gemini, as the exchange navigates the aftermath of several regulatory actions that emerged following the 2022 collapse of the FTX exchange.
The cryptocurrency industry is hopeful for a more favorable regulatory environment under the current administration, which is seen as fostering a friendlier relationship with crypto-related businesses.
SEC Halts Enforcement Action
In 2023, the Securities and Exchange Commission (SEC) charged both Gemini and Genesis Global Capital with selling unregistered securities through the Gemini Earn cryptocurrency lending platform.
Last March, Genesis agreed to pay a $21 million penalty to settle the charges. However, in a positive turn of events for Gemini, the SEC recently informed the company’s legal counsel that it had dropped its investigation and would not pursue enforcement action against the exchange.
Cameron Winklevoss, co-founder and president of the exchange, highlighted the significant financial burden the SEC’s actions imposed on the company, stating that it cost Gemini tens of millions of dollars in legal fees and hindered innovation and productivity.
Winklevoss emphasized that Gemini is not alone in facing such challenges, as the SEC’s actions against various crypto companies have had a broader negative impact on economic growth within the US.
Featured image from DALL-E, chart from TradingView.com
