Gemini valuation drops 80% amid acquisition speculation

Gemini, the cryptocurrency platform founded by the Winklevoss twins, has seen its market valuation drop by approximately 80 percent since its public debut, falling from roughly $4 billion to $753 million. Financial metrics for the second quarter show a 38 percent year-over-year decline in exchange revenue and a 66 percent drop in spot trading volume to $3.8 billion. Additionally, assets under management on the platform decreased from $18.2 billion to $8.4 billion.

Despite the shrinking core business, speculation regarding a potential acquisition is increasing. Analysts and investors suggest that Gemini’s regulatory licenses and established custody infrastructure may hold significant strategic value for new market entrants who wish to avoid the expensive and time-consuming process of obtaining their own permits.

However, any potential sale faces hurdles due to the concentrated voting control held by the Winklevoss twins, who command 94.5 percent of the voting rights. This control makes hostile takeovers or shareholder-led sales nearly impossible without their direct approval.