Gemini’s price surged 30% after hours; Q1 credit card revenue rose 300% year over year

Shares of Gemini (NASDAQ: GEMI) surged by as much as 30% during trading after the close on May 15. The company previously reported total Q1 revenue of $50.30 million, up 42% year over year. Credit card business contributed $14.70 million in quarterly revenue, up 300% year over year. Service and interest income from the company’s staking and custody businesses together grew more than 120% year over year to $24.50 million, accounting for nearly half of total revenue.

Q1 Financial Results: Detailed Performance by Business Line

Total revenue: $50.30 million (up 42% year over year; $35.30 million in the same period last year)

Net loss: $109 million

Exchange revenue: $17.20 million (down 27% year over year)

Total trading volume: $6.3 billion (from $13.5 billion in the same period last year; down 53% year over year)

Service and interest income (credit cards, staking, custody): $24.50 million (up more than 120% year over year)

Credit card revenue: $14.70 million (up 300% year over year)

Prediction market revenue: $400k (first disclosure)

April prediction market trading volume: up 78% month over month (pre-disclosed)

Prediction market first disclosure: metrics compared with peers

Gemini’s prediction market business, launched in December 2025, first disclosed operating data for Q1 2026:

Cumulative contracts traded: over 100 million contracts

Cumulative user count: over 20,000 users trading contracts on the platform

Q1 prediction market revenue: $400k

For comparison, Kalshi and Polymarket’s daily trading volume typically ranges between $300k and $500k. CEO Tyler Winklevoss confirmed in a statement: “Gemini has achieved multiple major milestones in products and regulation, enabling us to transition from a cryptocurrency company into a markets company.”

Business Transition: Product Roadmap Confirmed by the DCO License

Gemini received a derivatives clearing organization (DCO) license from the U.S. Commodity Futures Trading Commission (CFTC) in April 2026, enabling it to manage the settlement, collateral, and risk of derivatives internally. The company confirmed that the DCO license brings it closer to building an “end-to-end marketplace,” covering prediction markets, futures, options, and Perpetual Contract. The Winklevoss brothers also simultaneously announced a $100 million investment into the company via the Winklevoss Capital Fund, with the funds provided in Bitcoin.

FAQ

How did Gemini’s credit card business drive overall revenue growth of 300% year over year?

The credit card business grew sharply from the same period last year to $14.70 million (up 300% year over year), driving total service and interest income to $24.50 million (up more than 120% year over year). This category now accounts for nearly half of total revenue, effectively offsetting the $400k exchange revenue shortfall (down 27% year over year), and is the main driver behind the 42% total revenue growth in Q1.

How does Gemini’s 100 million contracts in prediction markets compare in scale with Kalshi and Polymarket?

Gemini’s prediction market has accumulated over 100 million contracts from December 2025 through the end of Q1, with Q1 revenue of $400k. By comparison, Kalshi and Polymarket’s daily trading volume typically ranges between $300k and $500k, indicating that Gemini’s prediction market remains at an early-stage scale. April trading volume grew 78% month over month, showing an accelerating growth trend.

What impact does the DCO license have on Gemini’s subsequent business expansion?

The CFTC’s DCO license allows Gemini to manage derivatives settlement, collateral, and risk internally, without relying on third-party clearing organizations. The company confirmed that this is a key foundation for its “end-to-end marketplace” roadmap, with plans to cover futures, options, and Perpetual Contract, though specific product launch timing has not yet been announced.