March 1, 2021

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Gemini could go public with an IPO

2 min read

The well-known crypto exchange Gemini could go public by launching its own IPO

Bloomberg reports that the exchange’s owners, twins Cameron and Tyler Winklevoss, are considering taking their company Gemini Trust Co. public. 

This was explicitly stated by the company’s co-founder and chairman, Cameron Winklevoss, during an interview. 

He added that they are observing the market and discussing internally whether it makes sense at this time, saying they are certainly willing to do so.

Back in December, another US crypto exchange, Coinbase, filed a Form S-1 application with the SEC in order to begin the listing process, so the possibility of Gemini’s listing is far from far-fetched. In addition, Bakkt also seems to want to go down this route. 

IPO for Gemini – a matter of opportunity 

The IPO would allow the Winklevoss twins to monetize their ownership of the exchange in dollars by selling their shares on the market, after all, the bitcoin in their portfolio are enough to make them billionaires

Gemini is a New York-based trust founded in 2014 and regulated by the New York Department of Financial Services. 

In fact, contrary to popular belief, many companies operating in the crypto sector do so in a perfectly regulated manner. In other words, if crypto markets are not yet fully regulated, this does not exclude the possibility that some companies operating in them might not be. 

Gemini, along with Coinbase, is probably one of the most compliant American crypto companies that exist with respect to strict US regulations, precisely because it is regulated by the authorities in the State of New York, the state with the strictest regulations in the US with respect to financial operators. 

For example, another well-known American crypto exchange, Kraken, has had legal problems in the past in the State of New York because of its strict regulations.

In other words, for Gemini, the decision to become a public company by launching an IPO on the stock exchange is merely a matter of opportunity, because from a regulatory point of view it would already have all the credentials to do so – and this should come as no surprise to anyone.

 

The post Gemini could go public with an IPO appeared first on The Cryptonomist.





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