Gemini Exchange Revenue Surges 42%! Credit Cards and Prediction Markets Boom, Stock Price Soars After Hours

Gemini, a cryptocurrency exchange, reported first-quarter revenue of $50.3 million, up 42% year over year. Despite losses caused by a decline in trading volume, its diversified transformation strategy sent the after-hours share price surging by 30%.

As the cryptocurrency spot trading market languished, the crypto exchange Gemini, founded by the Winklevoss twins, carved out a path forward with a “diversified transformation.” According to the latest first-quarter financial report, Gemini drove a surge in its after-hours stock price—up as much as 30%—thanks to strong results with revenue up 42% year over year, as well as standout data from its newly disclosed prediction market.

The financial report shows that Gemini’s total revenue in the first quarter reached $50.3 million, up 42% from $35.3 million in the same period last year. This strong growth momentum was mainly attributed to the growth of its in-house services and its over-the-counter (OTC) trading business, along with a breakout surge in performance from its Gemini credit card tied to cryptocurrencies.

Prediction market gets off to an early start, transformation into an “all-around market”

Notably, since it launched in December last year, Gemini for the first time separately disclosed operating figures for its “prediction market” in its financial report, with that business contributing $400,000 in revenue.

Although this figure still falls short of the prediction market giants such as Polymarket or Kalshi (with daily trading volumes between $300,000 and $500,000), Gemini emphasized that more than 20,000 users are already trading on the platform, and total contract trading volume has also surpassed 100 million contracts. In addition, the company also released an advance look at its April performance: prediction market trading volume jumped another 78% compared with the previous month, underscoring significant growth potential.

Gemini CEO Tyler Winklevoss said in a statement: “We have achieved multiple product and regulatory milestones, which allows Gemini to transform from a purely cryptocurrency company into a market company.”

Gemini is currently working hard to reduce its reliance on spot trading and extend its reach into the derivatives market. This April, the company successfully obtained a Derivatives Clearing Organization (DCO) license issued by the U.S. Commodity Futures Trading Commission (CFTC). The license allows Gemini to handle derivatives clearing, collateral, and risk management internally, without relying on third-party institutions.

Gemini revealed that the DCO license will help the company accelerate the development of a comprehensive “one-stop end-to-end trading platform” covering prediction markets, futures, options, and perpetual contracts.

To demonstrate absolute confidence in the company’s prospects, Tyler Winklevoss and Cameron Winklevoss also announced that, through their Winklevoss Capital Fund, they would inject $100 million into Gemini—paid entirely in Bitcoin.

Trading slump raises hidden concerns; staking and credit cards become the “golden geese”

Despite strong momentum in revenue growth, this financial report also reveals the pains of the industry’s transformation. Due to muted activity in cryptocurrency trading, Gemini’s first-quarter trading volume was cut in half from $13.5 billion in the same period last year to $6.3 billion, resulting in a 27% decline in exchange-related revenue. As a result, Gemini’s net loss in the first quarter reached $109 million.

In a situation of low trading volume, the “golden geese” that truly carried the business instead came from services and interest—including credit cards, staking, and asset custody. Revenue from this segment surged 120% to $24.5 million, contributing nearly half of total revenue. And credit card business alone generated $14.7 million, up 300% from the same period last year—becoming the biggest driver behind the first quarter’s performance despite the downturn.

• This article is reprinted with permission from: 《BlockBeats》
• Original title: 《Revenue Surges 42%, Prediction Market Gets Off to an Early Start! Gemini’s After-Hours Share Price Soars 30%》
• Original author: Block Sister MEL