The creators of Gemini Space Station Inc., Cameron and Tyler Winklevoss, are passing through a crucial phase for their cryptocurrency exchange.
Gemini, which was once hailed as one of the oldest cryptocurrency exchanges and one of the first to receive significant regulatory permits in the United States, is currently facing a steep decline because of the collapse of cryptocurrency markets.
Bloomberg reports that the company is laying off up to 25% of its employees, leaving the UK, EU and Australia completely and that its stock price has dropped more than 80% from its post-IPO peak, lowering its market worth from around $4 billion to less than $700 million.
In a dramatic reshuffle, Gemini recently parted ways with its Chief Operating Officer (COO) Marshall Beard, Chief Financial Officer (CFO) Dan Chen and Chief Legal Officer (CLO) Tyler Meade in a single day. Sources told Bloomberg that these executive departures were partly driven by the efforts for cost cutting.
In addition to the 25% workforce reduction announced earlier, the company has quietly let go of more U.S. staff in recent days. The moves come as management confronts rising expenses and shrinking revenue, with little room for error.
Analysts Matthew Coad, Lucas Ramadan, and Cameron MacLeod of Truist Securities stated, “The biggest issue here is that Gemini’s management team placed a big bet on the crypto bull market run continuing through 2027 and instead crypto asset prices have cratered.” Coad also highlighted, “Their strategy needs to change.”
Despite its long presence in the industry, Gemini has never been a market leader. Cantor Fitzgerald data shows the exchange handled only 0.1% of global spot crypto trading in January, down from 0.6% in June 2025.
Financial filings show that Gemini’s expenses rose roughly 70% last year, while net revenue grew just 17%. The international markets the company is exiting generated about 15% of revenue in the first nine months of 2025, illustrating the impact of its retrenchment.
Facing evaporating revenue and high operating costs, the Winklevoss twins are signalling a shift in focus. Internally, Gemini is placing increased emphasis on its custody business and its newly launched prediction markets platform, according to a source familiar with the company.
These areas are considered critical to the company’s next stage, though they are competitive and have their own regulatory challenges.
Mizuho analysts, who maintain an “outperform” rating on Gemini, framed the layoffs and international exits as “necessary surgery” to accelerate the company’s path to profitability.
They noted that Gemini’s custody business and its new prediction markets platform are areas where the company has a strong footing and can potentially rebuild its operations.
The decision to exit the UK, EU, and Australia came as a shock to the market. Just a few months ago, Gemini had opened a notable office on London’s Carnaby Street and spent much of 2025 securing the licenses it needed to operate across the European Union.
Now, the company’s sudden exit from these regions shows the real pressure it is under and highlights just how volatile the crypto market can be.
Gemini has so far remained silent about its restructuring. Going forward, the Winklevoss twins will need to find the right balance between cutting costs and investing in key areas such as custody services and their new prediction markets platform.
The way they handle this could decide whether Gemini bounces back from the recent slump or runs into further problems.
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