Gemini rises over 25% pre-market after $100 million capital injection, but still posts $109 million net loss in Q1

According to Odaily, Gemini, the cryptocurrency exchange founded by the Winklevoss twins, saw its stock price surge over 25% in pre-market trading after releasing its Q1 2026 financial report. The report showed that the company's quarterly revenue increased by 42% year-over-year to $50.3 million, while its net loss narrowed by 27% year-over-year to $109 million, though this still exceeded market expectations of a $0.61 loss per share.

The report indicated that Gemini's operating expenses rose by 73% year-over-year to $144.5 million. Within this, employee compensation costs increased by 91%, including approximately $6.5 million in severance payments. Sales and marketing expenses also doubled year-over-year to $19.1 million. The company stated that it is currently undergoing a business transformation through layoffs, business contraction, and a $100 million Bitcoin capital injection from the Winklevoss Capital Fund, aiming to achieve profitability.

In February of this year, Gemini closed its operations in the UK, the EU, and Australia, laying off approximately 25% of its staff to refocus on the US market and its prediction market business. In April, the company received approval from the U.S. Commodity Futures Trading Commission for a Derivatives Clearing Organization (DCO) license, officially entering the crypto prediction market sector. Bolstered by these developments, the company's stock price has been on a sustained rebound recently, currently trading back above $6.60. (CoinDesk)