Gemini Q3 Net Loss Narrows to $58.6M as Trading Volume Drops 73%

Gemini Space Station, Inc. reported its third-quarter financial results on Nov. 12, 2026, posting a net loss of $58.6 million ¹. The loss marked a 63% improvement from the $159.5 million loss recorded in the third quarter of 2025, driven largely by sustained cost-cutting across administrative and marketing operations ¹. Total net revenue fell 19% year-over-year to $40.9 million, down from $50.6 million in the prior-year period, as trading activity across the platform slowed significantly ¹.

Total trading volume for the quarter tumbled 73% year-over-year to $4.5 billion, down from $16.4 billion in the third quarter of 2025 ¹. Exchange revenue dropped 47% to $13.4 million, dragged down by softer retail participation, though the company noted increased institutional $ZEC activity and market-making volume provided a partial sequential lift ¹. Transactions involving Gemini's affiliated market maker accounted for $1.2 billion, or roughly 26%, of the quarterly spot volume ¹. Services revenue and interest income brought in $23.3 million, accounting for 59% of net revenue, supported by an 82% year-over-year increase in credit card revenue to $15.5 million ¹. Staking revenue retreated 29% from the prior year to $4.2 million, while prediction markets delivered $0.8 million ¹.

Cost Discipline Offsets Credit Card Losses

Total operating expenses fell 30% year-over-year to $119.9 million, reflecting Gemini's third consecutive quarterly decline in operating outlays ¹. Sales and marketing spending slid 75% year-over-year to $8.3 million, with direct brand acquisition spend falling 97% to $0.7 million ¹. Excluding stock-based awards, salary and compensation costs dropped 36% year-over-year to $23.7 million, following a workforce reduction executed in February 2026 ¹. These adjustments follow a prolonged period of operational realignments, which previously saw the firm divest non-core operations, including when KAST acquired Gemini's UK and European units for under $10 million.

Credit card operations showed signs of credit strain even as top-line card income expanded ¹. Transaction losses climbed 38% year-over-year to $10.6 million, featuring a $9.2 million credit card provision expense and $11.5 million in charge-offs driven by an earlier first-quarter fraud event ¹. Non-fraud 30-plus-day delinquencies ticked up to 3.4% as the credit portfolio seasoned ¹. The earnings report arrives amid a broader digital asset slump, with total market capitalization at $2.37 trillion at the time of writing, providing a muted backdrop as public exchange operators work to stabilize core unit economics following severe post-IPO equity contractions, including when Gemini shares slumped to a record low of $3.22.