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Gemini Space Station reported a $107.7 million net loss for the second quarter, narrowing 19% from $133.2 million a year earlier even as total revenue climbed 37% to $45.5 million.
The exchange generated more revenue from credit cards, staking and other services while crypto trading weakened. Total trading volume fell 66% to $3.8 billion from $11.3 billion in the second quarter of 2025.
Exchange Revenue Falls 38% as Trading Volume Drops 66%
Transaction revenue declined 15% year over year to $17.8 million, led by a 38% drop in exchange revenue to $12.5 million as softer crypto-market conditions reduced trading activity.
Over-the-counter revenue increased to $4.7 million from $600,000 as institutional clients completed several larger trades. Gemini Predictions generated $500,000 in revenue, while event contracts traded increased 93% from the first quarter.
Credit Card Revenue Jumps 231% as Fraud Provision Hits $16.1M
Services revenue and interest income increased 117% to $26 million. Credit card revenue climbed 231% to $16.2 million, while staking revenue rose 50% to $4 million.
Transaction losses rose to $20.1 million from $3.6 million, primarily because of a $16.1 million provision for credit losses tied to an identity-fraud event identified earlier this year. Managed credit card receivables reached $219.6 million, up from $93.5 million a year earlier.
Gemini said the elevated provision was concentrated in a specific group of accounts originating in the first quarter and did not reflect broad deterioration in its credit portfolio. The company said it has introduced additional fraud-detection and account-monitoring measures.
Operating Expenses Fall 15% from Q1 as EBITDA Loss Widens
Operating expenses fell 15% from the first quarter to $122.4 million following February job cuts, international market exits and lower restructuring and stock-compensation costs. They remained 24% above the year-earlier quarter.
Adjusted EBITDA loss widened to $74 million from $51.9 million a year earlier, primarily because of realized and unrealized losses on Bitcoin received through Gemini’s May private placement.
Gemini launched commission-free U.S. stock trading on July 7 and brought its derivatives clearinghouse online on August 4 as it expands beyond spot crypto into equities, prediction markets and derivatives.
