The cryptocurrency exchange Gemini, founded by the Winklevoss twins, is undergoing a business transformation amid a market downturn. This restructuring requires time, resources, and leaves little room for error, according to Bloomberg.

In September 2025, the platform went public on Nasdaq through an IPO, issuing 15.18 million Class A shares at $28 each—above the planned range of $24-26. The total funds raised amounted to $425 million.

At its peak, the company's valuation approached $4 billion. However, by the time of this report, it had plummeted to $661.5 million—an almost 85% drop. GEMI shares have closed lower each month since September.

Source: Yahoo Finance.

In early February, Gemini announced it would lay off 25% of its staff and exit the markets in the UK, EU, and Australia. Later, the company parted ways with three top executives: CIO Marshall Beard, CFO Dan Chen, and Chief Counsel Tyler Mead.

According to Bloomberg, the exchange quietly reduced its workforce further in the U.S.

“The main issue is that Gemini's leadership made a significant bet on the continued growth of the cryptocurrency market until 2027, but instead, digital asset prices collapsed,” said analysts from Truist Securities Matthew Coad, Lucas Ramadan, and Cameron MacLeod.

While the exchange has never been a market leader, its lag has only increased. In January, its share of spot cryptocurrency trading was just 0.1%, down from a modest 0.6% in June 2025.

“Their strategy needs to change,” Coad emphasized.

New Strategy

Amid declining revenues from cryptocurrency trading, Gemini co-founders Cameron and Tyler Winklevoss have signaled a shift in business focus.

The company plans to concentrate on developing a prediction market platform, custodial services, and launching credit cards. The priority jurisdictions for trading will be the U.S. and Singapore.

Gemini has decided not to hire a new COO—Cameron Winklevoss will take on some of those responsibilities.

In their message, the brothers acknowledged that achieving success in foreign markets has proven more challenging than expected. The company has become “overloaded due to increased organizational and operational complexity,” leading to rising costs.

Despite these difficulties, Tyler Winklevoss expressed optimism in a post on platform X:

“The mood in the cryptocurrency market is so bad right now that I’m honestly quite optimistic.”

Then why has the Arkham tagged @winklevosscap wallet been selling off bitcoin nonstop for a year straight? pic.twitter.com/0SFaYs3yul

— Pledditor (@Pledditor) February 23, 2026

In response, one commenter pointed out that this statement contradicts the ongoing sell-off of bitcoins by the Winklevoss Capital wallet. Over the past year, the balance of the address, which Arkham attributes to the Winklevoss family office, has decreased from approximately 23,000 BTC to around 11,000 BTC.

At its peak in 2014, the amount of cryptocurrency held was about 108,000 BTC.

Will the Winklevoss Bitcoins Fuel the Restructuring?

For the year 2025, Gemini reported an expected net revenue of $175 million against total operating expenses of $530 million.

At this rate of “burning” cash, the $425 million raised during the IPO does not seem like a substantial cushion.

Ironically, the company's public listing complicates efforts to secure additional funding. Discontented shareholders, worried about the stock price collapse, fear dilution of their stakes, Bloomberg noted.

“Given that the brothers will continue to be involved in the business, the possibility of them injecting cash [to keep operations running] is quite likely,” Coad believes.

However, he acknowledged that Gemini's investors have valid concerns about its solvency.

It’s worth noting that in January, the U.S. Securities and Exchange Commission reached a settlement with the company regarding a lawsuit filed two years ago concerning the now-defunct Gemini Earn income product.