From "glorious IPO" to "massive layoffs to survive," cryptocurrency exchange Gemini (NASDAQ: GEMI) achieved this transformation in less than half a year, with its stock price plummeting nearly 90% from its peak.

To date, Gemini has cumulatively laid off approximately 30% of its workforce, leaving only 445 employees, and has gradually exited markets in the UK, EU, and Australia.

Cumulative losses for 2025 reached $585 million, with Q4 2025 revenue around $60 million, yet losses continue to expand.

The core logic of exchanges is that revenue comes from trading volume, but with the current sluggish market and declining trading volume, listed exchanges face high compliance costs and fixed expenses that cannot be reduced, causing losses to continuously expand.

It's not just Gemini in retreat—Crypto.com layoffs, Kraken pausing its IPO—all indicate the exchange industry is entering a contraction and deleveraging phase.