Gemini's Troubles Deepen as Winklevoss Capital Slashes Bitcoin Holdings

Cameron and Tyler Winklevoss co-founded U.S. cryptocurrency exchange Gemini in 2014. In April 2013, they bought $11 million worth of Bitcoin at about $120 per coin. Large transfers by founders into an exchange hot wallet are often viewed as a potential signal of selling or liquidity management, fueling speculation that the early Bitcoin whales may be taking profits.

Blockchain analytics platform Arkham said on March 10, 2026, that the Winklevoss twins had transferred about $130 million worth of Bitcoin to Gemini hot wallets during the previous week, though they had yet to explain the purpose. After the transfers, the associated addresses still held about $764 million in Bitcoin, with estimated paper gains of $1.8 billion. BTC traded at about $70,720 that day, remaining above $70,000.

Winklevoss Capital, the investment firm owned by Gemini co-founders Cameron and Tyler Winklevoss, has long invested in digital assets including Bitcoin. Moving funds from an exchange hot wallet to a custody address typically helps reduce platform and hacking risks, making large onchain transfers closely watched by the market.

Arkham data showed that Winklevoss Capital transferred 572 Bitcoin, worth about $42.8 million, from a Gemini hot wallet during the 17 hours through July 20, 2026. It was the fund's first large inflow in more than a month, and its onchain assets are now worth about $853 million.

Gemini was founded by billionaire brothers Cameron and Tyler Winklevoss and offers custody, staking and payment services in addition to cryptocurrency trading. The company went public in September 2025 at $28 a share. Its UK and EU entities hold MiCA and UK Financial Conduct Authority authorizations, giving their licenses and market access potential value even after the operations were shut down.

CoinDesk reported on April 9, 2026, citing people familiar with the matter, that potential buyers were evaluating acquisitions of parts of Gemini's closed UK and EU operations, primarily to secure regulatory licenses rather than pursue a full takeover. Gemini announced on February 5 that it would cut 25% of its global workforce and withdraw from the UK, EU and Australia. Its COO, CFO and CLO then departed on February 17. The shares had fallen from $28 to about $4.36 but rose as much as 11% after the report.

Gemini, founded by Cameron and Tyler Winklevoss, is one of the major U.S. cryptocurrency exchanges and was valued at $4 billion in a 2021 funding round. Its valuation has now fallen by more than 80%, reflecting competitive and operational pressures in the crypto market and prompting renewed scrutiny of its financial position and long-term solvency.

Gemini was reported in July 2026 to be expanding its layoffs beyond a previously planned workforce reduction of about 25%. The company’s valuation has fallen 82%, from $4 billion to less than $700 million. The turmoil has also seen key senior executives, including its chief operating officer and chief financial officer, leave in succession, deepening market concerns about the company’s outlook.