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According to Bloomberg News, the company is working with investment banking giants Goldman Sachs and Citigroup on a potential listing. While a final decision has yet to be made, sources say an IPO could take place later this year.
The conclusion of the SEC investigation clears the way for Gemini's IPO
The timing of Gemini's IPO filing coincides with the recent conclusion of a nearly two-year investigation by the U.S. Securities and Exchange Commission (SEC). The 699-day investigation cost Gemini tens of millions in legal fees and created uncertainty about the company's future. However, in February, Cameron Winklevoss shared an official SEC letter confirming that the agency would not recommend any enforcement action against Gemini.
The investigation intensified when SEC issued a Wells notice 277 days earlier signaling potential litigation. However, the agency never explained why it dropped the case. Cameron Winklevoss publicly expressed frustration, accusing the SEC of "intimidating and harassing" the crypto industry before abruptly withdrawing his claims.
Trump's cryptocurrency summit signals policy change
Gemini's IPO filing comes shortly after a landmark White House crypto summit attended by Cameron and Tyler Winklevoss, as well as other crypto executives and politicians. The event marked a significant shift in the U.S. government's stance on digital assets, with President Donald Trump expressing strong support for the industry.
One of the most notable statements of the summit was Trump's decision to create a US national bitcoin reserve, in which the government would store confiscated cryptocurrency assets. Some industry leaders saw the move as a step toward cryptocurrency adoption, but others criticized it as purely symbolic, arguing that the government is not buying bitcoin, but simply storing confiscated assets.
A mixed reaction to the government's cryptocurrency strategy
While some investors have welcomed the idea of a national bitcoin reserve, financial analysts remain skeptical. Jaret Seiberg, an analyst at TD Cowen, called the policy a "compromise," emphasizing that the government would not actively invest in bitcoin. Edwin Groshans of Compass Point supported this view, calling the move "meaningless" due to the lack of legislative support and the possibility of it being overturned by future administrations.
Change in the SEC's approach to regulation
The SEC's decision to drop its case against Gemini is part of a broader trend of easing regulatory pressure on cryptocurrency companies. In recent weeks, the agency has also dropped charges against Coinbase and dropped its investigation into Uniswap, signaling a shift toward deregulation under the Trump administration.
What's next for Gemini
With regulatory hurdles cleared, Gemini's IPO could become one of the largest public offerings in the crypto industry. The exchange operates in several global markets, including New York, Singapore, London and Dublin. In late 2024, Gemini expanded its services to France ahead of new EU cryptocurrency regulations coming into effect.
If successful, the IPO will further strengthen Gemini's position as a leading cryptocurrency exchange in a rapidly growing industry.
