SKN | Gemini Sells UK and European Operations to KAST for Under $10 Million as Exchange Refocuses Its Business

Key Points:

• Gemini Space Station has sold its U.K. and European operations to Singapore-based stablecoin payments company KAST for less than $10 million, according to a person familiar with the transaction.
• The disposal follows Gemini’s decision to withdraw from the U.K., European Union and Australia, reduce its global workforce by approximately 25% and concentrate on its U.S. and Singapore businesses.
• KAST, which raised $80 million in a Series A round in March, gains an opportunity to expand its European presence as crypto-sector acquisitions increasingly focus on regulatory permissions and operational capabilities.

Gemini, the cryptocurrency exchange founded by Cameron and Tyler Winklevoss, has sold its U.K. and European operations to stablecoin payments company KAST for less than $10 million, according to a person familiar with the transaction. The disposal represents another step in Gemini’s international retrenchment as it restructures its business around profitability and more focused markets. At the same time, the transaction highlights a growing strategic opportunity for stablecoin companies seeking to expand through acquisitions of established operations and regulatory infrastructure.

Gemini Continues Its International Retrenchment

The transaction involves Gemini Space Station, the New York-based holding company operating the Nasdaq-listed cryptocurrency exchange. The reported purchase price is below $10 million, although neither company has publicly confirmed the financial terms. Gemini declined to comment, while a KAST spokesperson declined to discuss the transaction specifically.

The sale follows Gemini’s February announcement that it planned to wind down operations in the United Kingdom, European Union and Australia while reducing approximately 25% of its global workforce. The company intended to retain its U.S. and Singapore businesses as part of a broader effort to lower expenses and pursue profitability.

Signs of the transaction emerged approximately one month earlier through a KAST recruitment listing seeking a European general manager. The position included responsibility for overseeing the transition of Gemini’s U.K. and European Union employees, providing an indication of the operational arrangements behind the acquisition.

KAST Seeks Expansion Through Stablecoin Payments

Based in Singapore, KAST provides financial accounts, cross-border transfers and payment cards that allow consumers and businesses to hold, transfer and spend stablecoins. The company was founded by former Circle executive Raagulan Pathy and is positioning itself within the expanding market for blockchain-based payment services.

In March, KAST raised $80 million in a Series A funding round co-led by QED Investors and Left Lane Capital. The company identified licensing and compliance among the intended uses of the capital, making the Gemini transaction strategically relevant to its international expansion plans.

CoinDesk previously reported that potential buyers had examined Gemini’s closed European and U.K. businesses partly to obtain their regulatory permissions, rather than acquire the entire Nasdaq-listed company. Although the precise assets and licenses included in the KAST transaction have not been publicly detailed, access to established regulatory and operational infrastructure could be an important component of its strategic value.

Crypto M&A Shifts Toward Targeted Acquisitions

The deal comes during a period of changing acquisition activity across the cryptocurrency industry. According to advisory firm Architect Partners, crypto mergers and acquisitions totaled $2.2 billion across 67 announced transactions in the third quarter, representing an 83% decline in transaction value from the previous quarter.

Against this backdrop, acquisitions focused on licenses, distribution networks and specific product capabilities offer companies a way to expand without purchasing an entire business. For stablecoin providers, established compliance arrangements and access to regional markets can be particularly important as payment products increasingly compete with conventional financial services.

Gemini’s Restructuring Extends Beyond Exchange Trading

Gemini’s international retreat has coincided with financial support from its founders. In May, Winklevoss Capital Fund injected $100 million into the company, purchasing Class A shares at $14 each and paying in Bitcoin. The funding arrived as Gemini sought to expand beyond conventional cryptocurrency trading into a broader financial markets business.

In August, Gemini also signed a letter of intent with Apex Fintech Solutions to distribute its regulated cryptocurrency prediction markets through brokerage firms. Under the proposed arrangement, Gemini Titan would serve as the exclusive regulated venue for crypto event contracts offered through Apex’s futures commission merchant.

Gemini’s third-quarter financial results, scheduled for release after U.S. market hours on November 12, will provide further insight into the financial effects of its restructuring. For KAST, the immediate challenge will be integrating the acquired operations and establishing a meaningful European presence. The longer-term significance of the transaction will depend on whether the company can convert its expanded regulatory and operational footprint into sustainable stablecoin payment activity.