Gemini Sells European and UK Operations to KAST for Under $10 Million
The crypto exchange divests international assets to focus on profitability and core markets.
1Strategic International Divestment
Gemini has sold its operations in the United Kingdom and the European Union to the Singaporean payment firm KAST. The transaction was finalized for less than $10 million as part of a broader restructuring plan. This move marks a significant shift in the exchange's global footprint, prioritizing core markets like the United States.
2Restructuring and Cost Cutting
The sale follows Gemini's earlier announcement in February 2026 regarding its exit from several international markets, including Australia. The company has implemented aggressive cost-cutting measures, including a 25% reduction in its global workforce. By March 2026, the firm reported having approximately 445 employees remaining as it moved toward a leaner operational structure.
3KAST's Expansion Strategy
KAST, a payment infrastructure firm specializing in stablecoins, acquired the assets to bolster its market presence. Founded by former Circle executive Raagulan Pathy, the company recently raised $80 million in a Series A funding round. KAST intends to use these resources to secure necessary licensing and ensure compliance with complex regional regulatory requirements.
4Regulatory Asset Value
Industry analysts note that buyers often target such acquisitions primarily for existing regulatory permits rather than the underlying business operations. Acquiring established licenses allows firms like KAST to bypass lengthy bureaucratic processes in the UK and EU. This trend remains a common strategy for expansion within the current, more cautious cryptocurrency M&A landscape.
5Financial Performance Trends
Despite ongoing structural changes, Gemini reported a 42% revenue increase to $50.3 million in the first quarter of 2026. The exchange also saw significant traction with its Gemini Predictions platform, which processed over 100 million contracts since December 2025. These developments highlight the firm's attempt to balance profitability with innovative product growth.
6Market M&A Environment
The broader crypto sector has seen a sharp decline in merger and acquisition activity. In the third quarter of 2026, the total value of 67 announced deals reached $2.2 billion, representing an 83% drop from the previous quarter. This environment underscores the strategic importance of selective acquisitions for companies seeking distribution and product solutions.
7Internal Capital Support
To maintain stability during this transition, Gemini received substantial financial backing from its founders. In May 2026, Winklevoss Capital Fund invested $100 million into the company by purchasing Class A shares at $14 each, with the transaction settled in Bitcoin. This capital injection provides the necessary liquidity to support the firm's ongoing operational pivot.
8Future Operational Focus
Moving forward, Gemini is concentrating on its Gemini Titan platform to distribute regulated cryptocurrency event contracts. Through a partnership with Apex Fintech Solutions, the firm aims to offer these products to brokerage companies. This shift reflects a move toward B2B distribution models as the company continues to refine its focus on core, high-growth segments.
Original article: INCRYPTED — Gemini Sells European and UK Operations to KAST for Under $10 Million