Gemini’s IPO Hits $425M Cap—Despite Investor Frenzy That Could’ve Topped $1B
Wall Street plays it safe—again. Gemini's long-awaited IPO gets shackled with a $425 million ceiling, leaving crypto bulls fuming as demand reportedly eclipses that figure threefold. Here's why the exchange won't let retail FOMO fuel a bigger payday.
The institutional playbook strikes back
Sources whisper the offering could've cleared $1.2 billion based on early interest. Instead, management opts for 'modest' pricing—Wall Street code for 'we'd rather leave money on the table than risk a post-listing dip.'
Crypto's coming-of-age paradox
Exchanges now face the same scrutiny as traditional finance... but without the benefit of TBTF bailouts. Gemini's self-imposed cap reeks of that painful transition—grown enough to IPO, but still spooked by crypto's volatility ghosts.
The closer: Nothing says 'maturity' like capping your own upside to appease skittish bankers. Welcome to the big leagues, Gemini—where even crypto giants kneel to the cult of 'reasonable valuations.' (Just don't check what they said about Tesla in 2020.)
Gemini adjusts IPO terms as Nasdaq, retail buyers enter mix
The decision to hold back on upsizing the IPO comes during a hot week for U.S. public listings. Three big deals, Klarna Group Plc, Figure Technology Solutions Inc., and LB Pharmaceuticals Inc., have all outperformed their price targets.
Klarna and Figure are both priced above their ranges. LB priced in the middle and still expanded its offer. Across the board, shares of companies going public in 2025 on U.S. exchanges are showing an average gain of 36.5%, excluding SPACs and closed-end funds.
Despite this, Gemini is playing it tight. The company said in updated plans earlier this week that Nasdaq Inc. will pump $50 million into the company through a private placement that runs alongside the IPO.
Gemini also bumped up the share allocation for retail investors, jumping from 10% to 30%. That means everyday traders on Robinhood, SoFi, and Webull are getting a larger piece of the offering than originally expected.
Cameron and Tyler owned nearly all of Gemini before this IPO. Even after the listing closes, they’re expected to keep 94.5% of voting power, based on the company’s filings. That grip on control is one reason Gemini doesn’t want to mess with more dilution.
The 16.7 million shares represent roughly 14% of total shares outstanding post-offering, including the Nasdaq placement. Trading is scheduled to begin on Friday on the Nasdaq Global Select Market under the ticker GEMI.
The IPO is being led by Goldman Sachs Group Inc., Citigroup Inc., Morgan Stanley, and Cantor Fitzgerald.
Don’t just read crypto news. Understand it. Subscribe to our newsletter. It's free.
