Co-founded by the Winklevoss twins, Cryptocurrency exchange Gemini has filed its S-1 form with the U.S. SEC, a first step towards going public. The filing also revealed that it has secured a $75 million revolving credit facility from Ripple Labs. The credit agreement also has an option to expand the funding to $150 million under certain conditions.
Borrowing flexibility with RLUSD option
The arrangement allows Gemini to borrow in minimum increments of $5 million, carrying an interest rate between 6.5% and 8.5%, and is secured by collateral. Once borrowing exceeds the initial $75 million, Gemini can draw additional funds in Ripple’s RLUSD stablecoin, according to a Reuters report. This will allow it to offer digital-native flexibility in settlement.
Gemini’s proposed IPO targets a Nasdaq listing under the ticker “GEMI.” Post the SEC’s greenlight, this would make it the third U.S. crypto exchange to go public. The filing also gave a preview into the exchange’s financials for the first half of 2025, which don’t look too promising.
The company reported a net loss of $282.5 million on a total revenue of $68.6 million in the six months ended June 30, compared with a net loss of $41.4 million on a revenue of $74.3 million year earlier. Gemini said it will use IPO proceeds for general corporate purposes and to repay all or part of its third-party debt.
Following Circles footsteps
The exchange also supports stablecoins on its platform, a segment that has drawn attention following last month’s signing of the GENIUS Act, a new U.S. law establishing a regulatory framework for stablecoins. Gemini issues the Gemini Dollar (GUSD), a stablecoin pegged 1:1 to the U.S. dollar.
Industry heavyweights, including Goldman Sachs, Citigroup, Morgan Stanley, and Cantor Fitzgerald are taking lead roles as underwriters for the issue. Although share count and pricing remain undisclosed, analysts estimate the IPO could raise around $400 million. The favorable crypto-friendly IPO environment follows the successful listings by stablecoin issuer Circle and Bullish, the parent of CoinDesk, in the first week of August.