The company has in recent days laid off additional workers beyond the 25% of staff cuts it announced earlier this month, Bloomberg News reported Sunday (Feb. 22), citing sources familiar with the matter.
The news came days after the company saw its chief operating officer, chief financial officer and chief legal officer all leave Gemini on the same day. The company’s stock has dropped more than 80% since it went public last year, with its market value falling from around $4 billion to less than $700 million, the report added.
Bloomberg also cited a note from Truist Securities analyst Matthew Coad, who wrote that the departures “could result in more investors becoming concerned about Gemini’s solvency.”
“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 and fellow analysts Lucas Ramadan and Cameron MacLeod, wrote in a note last week.
“Their strategy needs to change,” Coad added in an interview with Bloomberg.
PYMNTS has contacted Gemini for comment but has not yet gotten a reply.
The report also pointed to a recent securities filing from Gemini showing that Gemini’s expenses rose by around 70% last year, while net revenues increased by 17%.
Gemini announced the 25% cuts to its staff Feb. 5, and said it would also exit the U.K., European Union and Australia as it increases its focus on prediction markets and the U.S.
Gemini CEO Tyler Winklevoss and President Cameron Winklevoss announced the changes in a blog post, saying these moves will help reduce expenses and “meaningfully accelerate our path to profitability even in the backdrop of the current crypto market.”
“Simplify, consolidate, then accelerate,” the billionaire founders said, adding that the company’s prediction market, Gemini Predictions, has gained more than 10,000 users who have traded more than $24 million since its debut in December.
In other crypto news, PYMNTS wrote last week about the stablecoin industry’s preparations for a future it increasingly views as inevitable.
“Despite regulatory deadlock in Washington, banks, FinTechs and global payment providers are rapidly integrating stablecoins into the back-end infrastructure of payments, custody and treasury operations.
“Emerging markets are driving practical demand, traditional institutions are positioning to capture middleware economics rather than just issue tokens, and the sector is shifting from speculative crypto narratives to foundational financial plumbing.”
The result, PYMNTS added, is a classic “infrastructure-before-adoption” moment: usage is still early and risks are still debated, but the architecture that will allow for mainstream growth is already being established.
