Gemini Revenue Falls 19% to $40.9M as Trading Volume Collapses

Gemini's revenue fell 19% to $40.9 million in the third quarter, down from $50.6 million a year earlier, as crypto trading activity across its exchange continued to shrink. The Nasdaq-listed exchange, founded by Cameron and Tyler Winklevoss, reported the figures in its quarterly filing.

The net loss narrowed to $58.6 million, from $159.5 million in the same period last year. Cost discipline did most of the work. Operating expenses dropped 30% year over year to $119.9 million, the third consecutive quarterly decline, driven mainly by lower marketing spend and reduced employee compensation.

The trading picture is stark. Total volume fell to $4.5 billion from $16.4 billion a year earlier. Exchange revenue declined 47%, as lower retail trading fees outweighed increased institutional activity. There was one bright spot: spot trading volume rose 18% from the previous quarter, supported by institutional flows involving Zcash.

What does this change for the business?

The answer is diversification. Gemini has spent 2026 cutting costs, reducing headcount and exiting several international markets, while pushing revenue beyond crypto transaction fees. The credit card division grew revenue 82% year over year. Managed credit card receivables reached $202.2 million. The exchange has also expanded into stock trading and prediction markets.

That growth carries risk. Credit card chargeoffs rose to $11.5 million from $3.4 million, partly due to a previously disclosed fraud incident. The delinquency rate for accounts overdue by at least 30 days, excluding fraud, ticked up to 3.4% from 3.3%.

The core tension is simple. Gemini's traditional exchange business is contracting sharply, and the consumer finance businesses replacing it bring credit risk the crypto exchange never carried. Retail participation in crypto markets remains weak, and institutional activity — including the Zcash-driven spot volume — has not come close to filling the gap left by the $11.9 billion decline in annualized quarterly trading volume.

Cost cuts have kept the loss narrowing. But a company cannot shrink its way to durable profitability while its primary revenue line contracts by nearly half. The 82% growth in card revenue and the push into equities and prediction markets are the operational bet: that a diversified retail financial platform can outperform a standalone crypto exchange in a weak trading environment.

Investors will get more detail soon. Gemini is scheduled to discuss its quarterly financial results during an earnings conference call on Friday, November 13, where management is expected to face questions on chargeoff trends and the trajectory of trading volumes.