Investors filed charges against Gemini Trust Co. and its founders Tyler and Cameron Winklevoss, alleging that interest-bearing accounts sold by the cryptocurrency asset exchange were not registered as securities.

In a class-action complaint filed Tuesday in federal court in Manhattan, investors accused the company and its founder of fraud and violations of the Exchange Act.

Gemini Trust Earn products claim to generate interest rates of up to 8%. However, in mid-November, Tyler and Cameron Winklevoss abruptly stopped redemptions after their partner Genesis Global was caught up in the FTX bankruptcy.

Investors said Gemini's refusal to accept any further redemptions hurt all investors who participated in the program. Investors say that if defendants had registered the products, they would have received disclosures and would have been better able to assess the risks.

Gemini said it was working urgently to resolve liquidity issues with Genesis.