The Gemini Space Station (GEMI), a crypto exchange established by Cameron and Tyler Winklevoss, has experienced a drop of over 20% in its shares since its Nasdaq debut last Friday.
On Tuesday, the stock fell by about 6%, trading at $30.42, having declined nearly 24% over the last week. This significant downturn came after an initial increase when the company raised $425 million in its IPO, pricing shares at $28 and valuing the firm at $3.3 billion prior to trading.
During its first trading day, GEMI surged to $45.89 before finishing at $32—a 14% premium over its initial price. However, since reaching that peak, the shares have dropped over 34%, diminishing much of the early excitement from public market investors.
The larger crypto equity market has shown more stability. Coinbase (COIN), the largest U.S. crypto exchange, has remained steady over the past week. Robinhood (HOOD), from which a portion of revenue comes from crypto, is down by 3%. In contrast, token issuer Circle (CRCL) has risen by 13% during the same timeframe.
Some of the downward pressure on Gemini’s stock may be related to its financial performance. The company reported a net loss of $283 million in the first half of 2025, following a $159 million loss in all of 2024. Even with new capital, the figures indicate that the business is still significantly away from profitability.
Analyst Ed Engel from Compass Point pointed out that GEMI is currently valued at 26 times its annualized first-half revenue. This metric—commonly employed to assess whether a stock is overpriced—implies that investors are spending $26 for each dollar the company is projected to earn in sales this year. For a company operating at a loss in a fluctuating sector, that’s a high valuation, potentially contributing to investor doubts.
