Gemini Bets Its IPO Future on Ripple’s Stablecoin Ambitions

Gemini has filed for an initial public offering (IPO) on Nasdaq under the ticker GEMI, revealing a $75 million secured credit facility with Ripple Labs as part of its pre-IPO financing strategy. The credit line, outlined in the exchange’s SEC filing on August 15, 2025, includes provisions for borrowings in USD and potentially in Ripple’s RLUSD stablecoin once the initial $75 million threshold is surpassed. This agreement, which permits borrowing in increments of at least $5 million and could expand to $150 million based on performance metrics, provides Gemini with a liquidity buffer amid significant financial challenges heading into its public offering.

The credit agreement, which carries interest rates of 6.5% or 8.5% annually and requires collateral security, is a strategic move by Gemini to enhance its balance-sheet flexibility. The exchange, founded by Tyler and Cameron Winklevoss, disclosed a net loss of $282.5 million in the first half of 2025, compared to $41.4 million in the same period of 2024. Total revenue for the six months ended June 30, 2025, was reported at $67.9 million, down from $74.3 million in 2024. For the full year of 2024, Gemini recorded a net loss of $158.5 million on revenue of $142.2 million. The financial figures underscore the operational pressures Gemini faces as it prepares for its IPO.

Gemini’s filing also reveals a broader trend in the crypto industry, with multiple exchanges and crypto-native companies seeking public listings following the return of Donald Trump to the White House. The regulatory environment has improved for crypto firms, with the SEC dropping most of its enforcement actions, and the administration advancing a pro-crypto agenda. Bitwise chief investment officer Matthew Hougan had previously predicted 2025 would be a pivotal year for crypto IPOs, identifying Circle, Kraken, and others as likely candidates. This forecast has largely come true, with Circle completing its NYSE debut in June and Bullish following in August.

The inclusion of Ripple’s RLUSD in the credit facility highlights the growing role of stablecoins in institutional finance. Once the $75 million limit is reached, Gemini can draw additional funds in RLUSD, which may help to broaden the token’s adoption within exchange infrastructure. This move could position RLUSD as a direct competitor to USDT and USDC, the two dominant stablecoins in the market. Ripple’s involvement also reflects its broader strategy to expand its influence in the institutional space following the recent rally in XRP and its ongoing efforts in real-world asset tokenization.

Gemini’s IPO is being led by Goldman Sachs, Citigroup, Morgan Stanley, and Cantor Fitzgerald, with Academy Securities and AmeriVet Securities serving as co-managers. The company has not yet disclosed pricing or deal size but has indicated that proceeds will be used for general corporate purposes and to repay third-party debt. The dual-entity structure—comprising Gemini Trust in New York and Moonbase in Florida—will allow the exchange to maintain operational flexibility while navigating state-level regulatory constraints.

The crypto IPO momentum continues to build, with firms like Kraken and Grayscale reportedly considering public offerings. Meanwhile, Coinbase and MicroStrategy have seen significant price recoveries, suggesting growing institutional confidence in the sector. The regulatory climate has shifted in favor of crypto firms, with recent executive actions from the Trump administration, including a proposed rule allowing 401(k) plans to include digital assets, indicating a more accommodating approach to digital finance.

Source: [1] Gemini IPO filing reveals Ripple credit deal, $282M net loss in 2025 (https://cryptoslate.com/gemini-ipo-filing-reveals-ripple-credit-deal-282m-net-loss-in-2025/) [2] Ripple Becomes Gemini's Secret Weapon Ahead Of IPO (https://bitcoinist.com/ripple-geminis-secret-weapon-ahead-ipo/) [3] Ripple Chosen by Gemini for Credit Line Ahead of IPO (https://u.today/ripple-chosen-by-gemini-for-credit-line-ahead-of-ipo) [4] Ripple USD Price Chart (RLUSD) (https://www.coingecko.com/en/coins/ripple-usd) [5] Ripple Backs Gemini's IPO Filing With $75M Credit Line (https://cryptonews.com/news/ripple-backs-geminis-ipo-filing-with-75m-credit-line-rlusd-option-included/)