Gemini Space Station (GEMI) is streamlining operations by exiting the UK, European Union, and Australian markets while reducing its global workforce by 25 percent. Mizuho analysts described the move as margin-accretive, noting that the exchange is pivoting away from high-cost geographic expansion toward jurisdictions with clearer regulatory frameworks. By narrowing its strategic scope to the US and Singapore, the firm intends to redeploy compliance and operational resources more efficiently.
The restructuring is expected to incur approximately $11 million in pre-tax charges during the first quarter of 2026. However, Mizuho expects operating leverage to improve by the second half of the year as these restructuring expenses roll off. The firm reiterated its Outperform rating and $26 price target for GEMI shares, which recently traded near historic lows. Analysts noted that achieving profitability has been a consistent point of investor scrutiny for the exchange since its public listing.
Beyond core trading, Gemini is focusing on growth in institutional custody and regulated prediction markets. The company recently received approval from the Commodity Futures Trading Commission to launch prediction services in the U.S., a sector Mizuho views as a key revenue stabilizer. While broader market sentiment remains divided between fintech and crypto-native platforms, Gemini’s strategic reset aims to defend and grow its market share through a more concentrated domestic footprint.
