The parent company of the Gemini cryptocurrency exchange, Gemini Space Station, LLC, closed its first round of financing, which Morgan Creek Digital led. Investors put $400 million in the company, valuing it at $7.1 billion, according to Forbes.
Thus, Marcy Venture Partners of rapper Jay-Z, WnderCo of former Disney chairman Jeffrey Katzenberg, VanEck, Australian Commonwealth Bank, 10T Holdings Dan Tapiero and other investors will attend the round.
Under the terms of the deal, Morgan Creek Digital General Partner Sachin Jaitley will join Gemini’s board of directors. Tyler and Cameron Winklevoss are also on the board, and two more specialists will join them in the next two months. The Winklevoss twins are expecting to retain 75% of the company. According to the results of the investment round, their combined wealth will reach $10.5 billion.
The company’s revenue has grown by 600%
Over the past 12 months, the company’s revenue has grown by 600%. Gemini expects to become profitable by the end of 2021. Moreover, the firm receives most of its income from its Gemini Exchange and Active Trader trading platforms.
The firm offers clients custodial services within Gemini Custody and is the issuer of the Gemini Dollar (GUSD) stablecoin. The company’s ecosystem also includes: Gemini Earn, which allows customers to earn interest on cryptocurrency deposits; Gemini Clearing, a solution for the settlement of over-the-counter transactions; Gemini Pay is a payment system launched jointly with Flexa, which provides the opportunity to spend cryptocurrencies in retail outlets; Nifty Gateway is a marketplace for non-fungible token (NFT) trading.
According to Cameron Winklevoss, 600 employees work in two offices of the company (in London and Singapore) and on a remote basis. By the end of the year, Gemini will bring their number to 1000.
Striving to build their own metaverse
The Winklevoss brothers told Forbes that they are striving to build their own metaverse that can compete with the projects of such giants as Meta (formerly Facebook). In their opinion, the struggle between decentralized spaces and closed ecosystems (walled gardens) will soon unfold. To achieve their goal, the twins are actively investing in the developing space personally (with the help of the Winklevoss Capital family office) and through the recently launched Gemini Frontier Fund. For example, the latter’s portfolio includes The Sandbox gaming blockchain platform and the Somnium Space project.
According to Tyler Winklevoss, the company plans to open its representative offices in several virtual worlds. He also stressed that existing social networks have many problems, but blockchain can fix them.
Recall that earlier in June, Gemini took out $4 million in carbon credits. Carbon credits are measurable and verifiable emission reductions from certified climate action projects. Thus, these projects reduce, remove or prevent greenhouse gas emissions. But they also bring a host of other positive benefits. Such as empowering communities, protecting ecosystems, restoring forests, or reducing dependence on fossil fuels.