Winklevoss Twins Inject $100M in Bitcoin into Gemini, Shares Surge Over 20%
Winklevoss twins invest $100M in Bitcoin into Gemini; shares surge over 20% after Q1 earnings beat and 42% revenue growth.
Breaking: Winklevoss Twins Inject $100M in Bitcoin into Gemini, Shares Surge Over 20%
Gemini (NASDAQ: GEMI) shares soared more than 20% in after-hours trading Thursday after co-founders Cameron and Tyler Winklevoss announced a $100 million strategic investment in their own company, paid entirely in Bitcoin. The move, paired with a Q1 earnings report showing 42% revenue growth, sent shares from $5.26 to $6.33 in extended trading.
Winklevoss Capital Fund purchased 7.1 million shares at $14 per share—nearly triple the stock's recent market price of around $4.92. The $14 entry price, settled in Bitcoin, signals the twins' conviction that both Gemini and the flagship cryptocurrency have significant upside. Tyler Winklevoss, Gemini's CEO, stated: “We believe the market has significantly undervalued Gemini, and that this investment will allow us to set up the company for its next phase of growth.”
Shares continued climbing Friday morning, rising over 30% before settling. The investment comes as Gemini reported total revenue of $50.3 million for the quarter ended March 31, 2026, driven by a surge in services and OTC revenue. Services and interest income jumped 122% to $24.5 million, while credit card revenue climbed 300% to $14.7 million. The net loss narrowed to $109 million, an improvement from the $141 million loss in Q1 2025.
Background: Gemini's Rocky Road
The earnings report follows months of turbulence for the exchange. In February, Gemini cut 25% of its global workforce, exited the UK, EU, and Australian markets, and lost its COO, CFO, and Chief Legal Officer in a single week. Those events sparked a wave of shareholder class-action suits alleging the company misled investors in its September 2025 IPO, which was priced at $28 per share and initially traded higher.
The broader crypto market added to the pressure. Bitcoin crashed more than 40% from its October 2025 peak of $126,000 to a low near $60,000 in February, rattling Gemini's exchange business. Trading volumes fell to $6.3 billion in Q1 from $13.5 billion a year earlier. The Winklevoss twins themselves were caught in the selloff: blockchain analytics firm Arkham flagged a $130 million Bitcoin transfer into Gemini in March, widely interpreted as a sale. They later pulled funds back, withdrawing $42.77 million in BTC from the platform in April as prices stabilized.
What This Means
The Bitcoin-denominated investment is a bold signal of confidence from the founders at a time when many investors remain cautious. By paying $14 per share—well above the market price—the twins are effectively underwriting a substantial valuation premium. This could encourage other institutional investors to reassess Gemini's prospects, especially as the company narrows losses and diversifies revenue streams.
For the broader crypto industry, the move underscores the growing use of Bitcoin as a strategic asset rather than just a speculative trade. If Gemini's stock continues to climb, it may set a precedent for other crypto-native companies to use their digital holdings for fundraising or insider buys. However, the overhang of shareholder lawsuits and the company's recent operational cuts mean the road ahead remains uncertain. Investors will be watching the May 25, 2026, shareholder meeting for further details on the investment and any potential regulatory filings.
This is a developing story. Check back for updates.