Frustrated by regulatory complexity and high compliance costs, Gemini is shuttering operations in the EU, UK and Australia to double down on its US home turf while diverting investment into the booming prediction market.
Gemini Exits EU, UK, Australia to Double Down on US
6 February 2026 - 09:08 CET
By Sandmark staff
The unprofitable crypto exchange co-founded by Tyler and Cameron Winklevoss said in a US Securities and Exchange Commission filing dated 4 Feb that the pullout would result in 200 global job cuts or 25% of its workforce in Europe, the US and Singapore.
It will continue operating in Singapore. The firm said the actions will result in approximately $11mn in pre-tax restructuring charges.
Struggled to get wins overseas
On 5 Feb, shares of Gemini (GEMI) dropped 8.72% to close at $6.70 in New York amid a brutal trading day for crypto assets and related stocks.
The charges are expected to be recognized in the first quarter of 2026. Since its 2015 founding, Gemini has expanded to more than 60 countries.
"These foreign markets have proven hard to win in for various reasons, and we find ourselves stretched thin with a level of organizational and operational complexity that drives our cost structure up and slows us down," a statement from the company said, adding that it didn’t attract sufficient demand to justify the operations.
Seeking path to profits
Given the circumstances, "it's time for Gemini to focus and double down on America," the company added.
Despite the challenging market backdrop, the exchange said it was confident the cuts would help it reach profitability. Bitcoin has been sliding all week, and on 6 Feb sank to a 16-month low of $60,008 before staging a modest recovery to trade around $65,000 as of 08:00 UTC.
Gemini’s withdrawal from the EU follows the securing of a MiCA license in August 2025 from the Malta Financial Services Authority, which was intended to allow "passporting" services across all 30 European Economic Area countries.
In May, the firm received approval under the EU’s Markets in Financial Instruments Directive II (MiFID II), which enabled it to offer derivatives across the bloc.
Prediction markets early mover
Gemini, which posted a net loss of $159.5mn for the quarter ended 3 Sept, 2025, talked up its license to launch its own prediction market, saying it is an "early mover" in the fast-growing sector. Founders Cameron and Tyler Winklevoss said that 10,000+ users have traded more than $24mn since Gemini Predictions was launched in mid-December.
The approval by the US Commodity Futures Trading Commission (CFTC) allowed Gemini’s affiliate, Gemini Titan, to list binary event contracts on political, economic, and cultural outcomes. Unlike Polymarket, which restricts US users, the Gemini platform is fully regulated. This allows American traders to wager directly from their existing dollar balances.
AI game changer
In announcing the cuts, Gemini cited the impact of AI, saying that "great engineers" would have 10x the impact as "good engineers" did previously.
"AI has completely changed the game, expanding this paradigm by another order of magnitude (at a minimum), making a 10xer now a 100xer," it said, adding that AI’s efficiencies mean that it can operate with a leaner workforce.
Gemini had only set up its Australia office in October 2025, while its Singapore operations received approval from the Monetary Authority of Singapore (MAS) for a Major Payment Institution license in October 2024. The Asian city-state remains the company’s regional headquarters and primary hub for its APAC operations.
