In the r/CryptoScams community, user KingHosu123 reported an issue with withdrawing 24,000 Singapore dollars (SGD) from the cryptocurrency exchange Gemini. According to the post's author, the platform locked his account and has been holding his funds for over a month. Exchange representatives claimed they had transferred the money and provided a tracking number, but the transaction was rejected, and the funds never arrived in his account. The author has already filed a complaint with the Consumer Financial Protection Bureau (CFPB) and sent Gemini a legal notice, preparing for litigation.

In the comments, users were divided on the cause of the incident. According to users Ramast and Jenn2895, if the exchange provided a tracking number, it means the money left their system, and the transfer was rejected by the recipient's bank. User Jenn2895 noted that banks frequently block large incoming crypto-related transfers due to AML (Anti-Money Laundering) compliance or mismatched account details. According to user yarevande, Gemini has indeed faced regulatory issues in the past (Wikipedia) and advised filing complaints with the SEC, CFTC, or MAS (if the author is located in Singapore).

However, not everyone believed the exchange was being honest. According to users spicybright and Strong_Floor_4997, the exchange might simply be misleading the user with fake tracking numbers to buy time and use their money for its own investments. User Icy_Student_1490 sarcastically noted that the crypto space isn't regulated at all. Nevertheless, user Jenn2895 emphasized that Gemini is regulated by the New York State Department of Financial Services (NYDFS), and the delay is most likely due to the author's account being flagged for an investigation into suspected fraud or money laundering, causing both financial institutions to want nothing to do with these funds.