Shares in the crypto exchange Gemini soared by nearly 6% in after-hours trading on Thursday, following the release of stronger-than-expected fourth-quarter earnings.
The company reported a 39% year-over-year increase in Q4 revenues to $60.3 million, surpassing analyst estimates of $51.7 million. Despite the revenue growth, Gemini reported a net loss of $140.8 million for the quarter, a significant widening from the $27 million loss recorded in the same period last year. For the full year 2025, Gemini’s losses totaled $585 million, a stark increase from $156.6 million in 2024.
In a shareholder letter, Gemini co-founders Cameron and Tyler Winklevoss highlighted that the Q4 revenue growth was driven by the adoption of credit cards and a restructured fee system. They noted that Q4 marked the highest quarterly revenue in three years, even as trading volumes declined. The Winklevoss brothers emphasized the deliberate work on the fee structure throughout the latter half of the year as a key factor in the revenue boost.
Gemini’s shares initially spiked 14% to $6.83 in after-hours trading but settled at $6.36, a 5.8% gain. The stock had closed the regular trading session flat at around $6. These results represent Gemini’s second earnings report since its public debut in September, coming at a time when the broader crypto market has experienced a significant downturn. Bitcoin (BTC) fell sharply from its all-time high of over $126,000 in October 2025.
The company has also faced operational challenges, including a 30% workforce reduction and the withdrawal from the UK, EU, and Australia markets. In their letter, the Winklevoss brothers stated that the layoffs were partly due to the increased adoption of artificial intelligence (AI) in their operations. They noted that AI is now used in over 40% of Gemini’s production code changes and is expected to reach nearly 100% in the near future. ‘Not using AI at Gemini will soon be the equivalent of showing up to work with a typewriter instead of a laptop,’ they said.
Gemini’s strategic focus for 2026 is to ‘double down on America,’ with the Winklevoss brothers expressing optimism about the pro-crypto stance of U.S. market regulators. They also highlighted the launch of Gemini Predictions, an in-house prediction market, across all 50 U.S. states in December, following the company’s receipt of a license from the Commodity Futures Trading Commission (CFTC).
The company plans to refine and expand its prediction market offering and scale its credit card and exchange services. The Winklevoss brothers envision shifting Gemini into a ‘markets company’ with the integration of Gemini Predictions and the potential for perpetual futures contracts, pending regulatory approval.
Gemini’s performance and strategic shifts underscore the ongoing challenges and opportunities in the crypto industry. As the market continues to evolve, Gemini’s ability to adapt and innovate will be crucial in maintaining its competitive edge and navigating regulatory landscapes.
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