Gemini, the cryptocurrency exchange expected to go public largely, bought Shard X.
Gemini did not disclose the financial terms of the deal. Founded in 2018, Shard X develops secure multi-party computing (MPC) cryptographic technology. The software will help Gemini move clients’ assets quickly, support new asset listings, and accelerate usage on the Gemini platform. The three founders of Shard X, Yaniv Neu-Ner, Nikita Lesnikov and Navaho De Wet, join Gemini. The London-based startup will be part of the British subsidiary of Gemini.
Shard X’s technology will provide “an extremely safe and secure guard with faster access,” said Noah Perlman, chief operating officer of Gemini. “We’re super excited about this,” he said. Barron.
Brothers Cameron and Tyler Winklevoss founded Gemini in 2014. The company employs more than 440 people and owns more than $ 30 billion in crypto assets. Gemini provides a platform that allows users to buy, sell, store, and earn interest on over 40 cryptocurrencies, including Bitcoin, Dogecoin, and Ether. The brothers remain “very involved” with Gemini, Perlman said. Tyler is CEO while Cameron is President.
Bitcoin has seen wild swings over the past year and is currently trading at over 50% from its all-time high. Gemini still has an “incredible belief” in bitcoin, Perlman said. “It is still one of the best performing asset classes,” he said. “We are not addicted to the price. “
Gemini is more interested in building products for its customers, Perlman said. He pointed out Gemini Win, which allows users to earn up to 7.4% interest on their cryptocurrency. The company is also a partner of
(ticker: MA) at launch a crypto rewards credit card it’s scheduled for later this summer. Rather than earning airline miles or hotel points, Gemini card users can earn up to 3% in crypto rewards, Perlman said. The card already has a waiting list of nearly 300,000 people.
“We have a lot of people who are crypto-curious and fearful and don’t want to invest. It allows them to stick their toe, ”he said. Gemini credit card users can get rewards in any cryptocurrency listed on its platform, Perlman said.
Bitcoin and cryptocurrencies are enjoying a moment. Public interest in the crypto asset class has recently increased, fueled in part by the highly anticipated public offering of
(COIN), the world’s largest cryptocurrency exchange, which listed its shares in April. A month later, Elon Musk, the billionaire entrepreneur and CEO of Tesla, appeared on “Saturday Night Live” in May. (Musk promoted cryptocurrencies in his tweets, while Tesla bought $ 1.5 billion worth of Bitcoin in February.)
“We are seeing incredible interest in the space from both retail users and traditional financial institutions. There are a lot of conversations around the asset class, ”said Perlman. “In the same way, we see it as if we were in the early days [of cryptocurrencies]. There is still a lot of education to be done.
About 14% of the US population, or 21.2 million adults, own cryptocurrencies, Gemini said in a recent “2021 State of US Crypto Report.” More men than women own crypto; only 26% of current crypto holders are women. The average crypto owner is a 38-year-old man who earns around $ 111,000 a year, Gemini said.
Gemini has launched an open access site, called Cryptopedia, to help educate. Consumers who visit the site can learn more about cryptocurrency investing, trading, and security.
Gemini, which has not taken outside capital, is expected to follow suit
to public markets. Perlman believes Coinbase’s IPO was “good for crypto overall,” he said. Gemini, however, has not made a decision on a possible offer, he said: “We continue to assess the market. The name of the game is optionality.
When asked if Gemini plans to go public via direct listing like Coinbase, or merge with a special purpose acquisition company or use a traditional IPO, Perlman said, “We will look at everything and let’s see what makes the most sense for us at this time. ”
Write to Luisa Beltran at [email protected]