Cryptocurrency exchange Gemini disclosed plans for a leadership restructuring that will see three senior executives depart as the company narrows its geographic focus and implements cost reductions, according to a regulatory filing released Tuesday.
Summary
- Gemini operates in more than 60 countries, but demand in certain regions proved insufficient to support continued growth.
- The firm plans to execute separation agreements with three executives that may allow them to remain temporarily to assist with transitions.
- The board appointed Chief Accounting Officer Danijela Stojanovic as interim CFO.
Chief Operating Officer Marshall Beard, Chief Financial Officer Dan Chen, and Chief Legal Officer Tyler Meade will leave their positions effective Feb. 17, the company stated in a Form 8-K filing. Gemini plans to execute separation agreements with each executive that may allow them to remain temporarily to assist with transitions, during which they would receive base salary and benefits without additional bonuses or incentive compensation.
Beard also resigned from Gemini’s board of directors on the same date. The filing indicated his departure was not related to disagreements over operations, policies, or practices.
Gemini announced a round of layoffs earlier this month.
The company will not fill the chief operating officer position. Co-founder Cameron Winklevoss will assume many of Beard’s responsibilities, including revenue-related duties, according to the filing. The board appointed Chief Accounting Officer Danijela Stojanovic as interim CFO, while Kate Freedman, currently associate general counsel and corporate secretary, will serve as interim general counsel.
ETF analyst James Seyffart characterized the changes as a “big shakeup” in a post on social media platform X following the filing’s publication.
The leadership changes accompany broader operational restructuring announced earlier this month. Gemini Space Station Inc. will cease operations in the United Kingdom, the European Union, and Australia, the company stated. Gemini also announced workforce reductions of approximately 25% to decrease costs and concentrate on core priorities.
Company management indicated that expansion into multiple countries created operational complexity and elevated expenses. While Gemini operates in more than 60 countries, demand in certain regions proved insufficient to support continued growth, executives stated. Future operations will focus primarily on the U.S, which management identified as the company’s strongest market.
Unaudited financial results for the previous year reflected mixed performance. Monthly transacting users increased approximately 17% year-over-year to roughly 600,000, according to company data. Net revenue is projected between $165 million and $175 million, compared with $141 million in 2024.
Operating costs, however, outpaced revenue growth significantly. The company estimated operating expenses may reach $530 million, with adjusted EBITDA losses of approximately $260 million. Total net losses for the year could approach $600 million, according to the projections.
Market participants responded negatively to the disclosed losses, according to reports.