Former US Securities and Exchange Commission enforcement chief Lisa Braganca has let slip that she is “puzzled” by the regulator’s delayed enforcement action against Gemini.

“The SEC has known about this product for a long time … …yet it allowed this to continue,” Braganca said. “The SEC has been clear for years that something like this earn program is a security so it’s puzzling why they didn’t come to a resolution of this a long time ago.”

It comes as the SEC launched legal action against Genesis Trading and Gemini for engaging in the sale of unregistered securities on Thursday.