Doom Looms For Gemini (GEMI): Expert Predicts Bankruptcy By End of 2026
Gemini’s stock, GEMI, is down 90 percent from its September 2025 high, raising new concerns about the crypto exchange founded by twins Tyler and Cameron Winklevoss.
As a result, market expert Dom Kwok, founder of blockchain firm EasyA Labs, warned on social media platform X (formerly Twitter) that Gemini may face bankruptcy before the end of the year.
Kwok’s forecast ties together several pressure points: multiple class-action suits, executive exits, slowing revenue growth, accelerating losses, and what he described as a “doom loop” that could further bring down the company.
Expert Warns Gemini May Need Dilutive Bailout
According to to Kwok, Gemini – founded more than ten years ago – continues to post annual losses in the hundreds of millions and is burning through the ongoing initial public offering (IPO) at a rapid pace.
When those reserves are depleted, he said, the company will likely need financing that could erode shareholder value and prompt many investors to sell.
Earlier this month, a series of class actions were filed to blame that Gemini misled investors about its growth prospects and hid internal turmoil ahead of its September 2025 initial public offering.
The plaintiffs argued that the company overestimated the long-term strength and stability of its core exchange business, exaggerated plans for international expansion and user growth, hiding the risks associated with a major strategic pivot and. to reorganizeand failed to disclose the losses extending to and from the C‑suite.
That pivot became public in February of this year during the exchange revealed “Gemini 2.0.” The plan calls for a refocus on speculative markets, withdrawal from the UK, the European Union (EU), and Australia, and a workforce reduction of around 25-30%.
The announcement followed a series of high-profile departures: within weeks, the company’s chief executive officer, chief financial officer, and chief legal officer all left their roles immediately, raising concerns about leadership stability.
Multi-Front Crisis
Kwok highlighted the slowness net worth as another major concern. Gemini growth is reported to have slowed to 26% in 2025 from 45% last year. He mentioned that companies that go public tend to accelerate growth, not slow it down.
Performance complaints from users added to the firm’s woes. Many customers have reported account freezes, difficulty withdrawing funds, unpaid referral bonuses, and poor customer service.
Taken together, lawsuits, high profits, strategic setbacks, slowing revenue growth, and user complaints paint a bleak picture of crypto exchange Gemini and its near-term stock prospects.
Kwok’s stance on capitalizing on initial public offerings and dealing with reduced funding cycles paints a path that could accelerate a major flight and depress the stock.
At the time of writing, GEMI had already closed Thursday’s trading session at around $4.59 per share, recording an additional intraday loss of 7%. No catalyst that could help the stock’s performance has been revealed yet.
Featured image from OpenArt, chart from TradingView.com
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