Gemini's trading volume falls 73% from a year ago to $4.5 billion as third-quarter revenue drops to $40.9 million

Gemini, the crypto exchange run by Tyler and Cameron Winklevoss, reported a sharp drop in trading on Thursday. Third-quarter revenue was $40.9 million, down 19% from $50.6 million a year earlier and 10% lower than in the second quarter, The Block reported. Trading volume fell to $4.5 billion from $16.4 billion a year before, a decline of about 73%, although it rose 18% from the second quarter.

Exchange revenue fell 47% to $13.4 million. Credit card revenue was $15.5 million, and revenue from prediction markets rose 52% from the second quarter to $800,000. Assets on the platform grew to $13.4 billion from $8.4 billion in the second quarter.

The loss narrowed as costs fell. Operating expenses were about $120 million, down 30% from a year earlier, and the net loss was $58.6 million, compared with nearly $160 million a year earlier and $107.7 million in the second quarter. Chief executive Tyler Winklevoss said operating expenses fell for a third quarter in a row.

Gemini shares rose 6.5% in after-hours trading to $2.79, but remain down about 75% this year, The Block said. The company is working to open its exchange and clearinghouse to brokerages that want to offer event contracts.