Gemini Reports $40.9 Million in Third-Quarter Revenue as Trading Falls 47%
Key Facts
Gemini reported total revenue of $40.9 million for the quarter ended September 30, 2026, down 19% year over year and 10% from the previous quarter. The company said in its results that net revenue was $39.2 million, compared with $49.8 million in the third quarter of 2025 and $43.7 million in the second quarter of 2026. The pressure was concentrated in trading, as platform revenue declined alongside a fall in trading volume. By contrast, lower operating expenses helped narrow the net loss compared with both periods. The company's shares closed higher in after-hours trading on November 12, while remaining down about 75% year to date.
Trading platform revenue fell 47% year over year to $13.4 million, after total trading volume dropped to $4.5 billion from $16.4 billion in the third quarter of 2025. Gemini said transaction revenue fell 40% year over year and 10% quarter over quarter to $15.9 million, attributing the decline to "a significant decrease in crypto trading activity." It said weaker retail trading was the primary reason for the drop in platform revenue, while higher institutional revenue offset part of the decline. The comparison with the second quarter shows a different trajectory for volume and revenue: trading volume then was $3.8 billion, compared with $11.3 billion in the second quarter of 2025, while platform revenue fell 38% year over year to $12.5 million. The company said the quarterly increase in trading volume was linked to institutional activity in Zcash and the expansion of its market-making business.
Services revenue and interest income together totaled $23.3 million, close to $23.4 million a year earlier, but their share of net revenue rose to 59% from 47%. This reflects a shift in the revenue mix as trading declined, with the two categories combined remaining nearly stable year over year. Credit card revenue rose 82% year over year, driven by growth in the card portfolio, but fell 4% from the previous quarter to $15.5 million. Prediction market revenue also increased to $0.8 million from $0.5 million in the second quarter, a quarterly gain of 52%. These activities provide other sources of income, while transaction revenue remained more exposed to changes in crypto trading activity.
Monthly active users totaled 577,000, down 2% from the third quarter of 2025 and 1% from the second quarter of 2026. Assets on the platform reached $13.4 billion at the end of September, compared with $21.3 billion at the end of September 2025 and $8.4 billion at the end of June 2026. The company attributed the year-over-year decline in assets to lower crypto valuations and the outflow of some institutional custody balances. These figures provide a measure of activity and assets held on the platform, alongside revenue and trading data. But they do not change the fact that the annual decline in total revenue coincided with a contraction in platform trading volume compared with the previous year.
On costs, total operating expenses fell 30% year over year to $119.9 million from $171.4 million, and declined 2% from the second quarter. Gemini attributed the decrease mainly to lower compensation and marketing costs. As a result, the net loss narrowed 63% year over year to $58.6 million from $159.5 million in the third quarter of 2025, and also fell 46% from the previous quarter. Chief Executive Tyler Winklevoss said operating expenses had "declined for the third consecutive quarter," adding that the company intends to direct growth spending with discipline. This highlights an improvement in the loss alongside continued revenue declines, with expenses falling faster than revenue year over year.
On business development, Gemini and Apex Fintech Solutions announced a nonbinding letter of intent on August 24, 2026, concerning the distribution of crypto event contracts through Apex's broker, with implementation contingent on negotiating definitive documents. Gemini said it wants to make its in-house trading and clearing platform available to brokerages and other firms seeking to offer event contracts without building the infrastructure themselves. It added that it is in active discussions with additional potential distribution and clearing partners. These steps outline a path to expand prediction market activity through partners, alongside the revenue it currently generates from the business. Management is scheduled to hold its third-quarter results call on November 13, 2026, at 8:30 a.m. U.S. Eastern Time.