Gemini secures Nasdaq as strategic investor ahead of IPO: report

Gemini Space Station, the cryptocurrency exchange founded by Cameron and Tyler Winklevoss, has brought Nasdaq on board as a strategic investor as it advances plans for a New York listing this week, Reuters reported, citing two people familiar with the matter.

According to the report, Gemini could raise as much as $317 million through the initial public offering.

Nasdaq has agreed to purchase $50 million in shares in a private placement at the time of the IPO, the people said.

The investment forms part of a wider partnership between the two firms, the report noted.

Nasdaq’s clients will gain access to Gemini’s custody and staking services, while Gemini’s institutional clients will be able to use Nasdaq’s Calypso platform to manage and track trading collateral.

Listing details

Gemini expects to begin trading on Nasdaq on Friday under the ticker symbol “GEMI.”

However, the company’s plans remain subject to market conditions and are subject to change.

The crypto exchange’s listing comes amid a broader rebound in US equity capital markets.

Strong investor demand for new offerings and robust first-day performances have encouraged more private firms to test market appetite.

Recent initial public offerings have generated significant investor interest, including design software maker Figma and space technology firm Firefly Aerospace.

Digital asset companies have also played a prominent role in the IPO market, with stablecoin issuer Circle and cryptocurrency exchange Bullish making notable debuts.

If completed, Gemini’s flotation would mark it as the third publicly traded crypto exchange, following Bullish and Coinbase, the latter of which became the first crypto exchange to join the S&P 500 index.

Gemini’s operations and financials

Gemini ranks among the largest US crypto trading platforms by trading volume, according to data from Kaiko, holding $21 billion in assets and recording $285 billion in lifetime trading volume.

Its services span an over-the-counter trading desk, a US credit card, and support for digital assets, including Bitcoin, Ether, and stablecoins.

Both retail and institutional investors are served, with most revenue derived from transaction fees.

Financial disclosures show Gemini reported a net loss of $282.5 million on revenue of $68.6 million for the six months ended June 30.

That compared with a net loss of $41.4 million on $74.3 million in revenue during the same period a year earlier, according to a filing with the US Securities and Exchange Commission.

The Winklevoss brothers, who became well known after a 2008 legal settlement with Facebook and its CEO Mark Zuckerberg, earned the moniker “Bitcoin twins” for investing part of their settlement in cryptocurrencies.

That investment helped them emerge among the world’s earliest crypto billionaires.