Trump Gets Thanks From Gemini CEO Tyler Winklevoss After Company Launches Prediction Markets — Shares Spike 13% After Hours

Gemini Space Station, Inc. (NASDAQ:GEMI) disclosed Wednesday that its subsidiary, Gemini Titan, LLC, has been cleared by the regulators to offer prediction markets to U.S. customers.

Gemini Enters Prediction Market Landscape

Gemini Titan received a Designated Contract Market license by the Commodity Futures Trading Commission, the company said in a press release.

This license will enable Gemini’s U.S. customers to engage in prediction markets by trading event contracts on Gemini's web interface using the funds in their Gemini account.

To begin with, Gemini will offer contracts that are simple “Yes” or “No” questions about future events.

Winkelvoss Thanks Trump

Gemini first applied for a DCM license in March 2020.

“Today's approval marks the culmination of a 5-year licensing process and the beginning of a new chapter for Gemini,” said Tyler Winklevoss, the company’s CEO. “It’s incredibly refreshing and invigorating to have a President and a financial regulator who are pro crypto, pro innovation, and pro America.”

See Also: Polymarket Rival Kalshi Becomes CNN’s Official Prediction Market Partner As Valuation Touches $11 Billion

The Dawn Of Prediction Markets?

Gemini’s approval comes amid a period of high interest and demand for prediction marketplaces.

Blockchain-based Polymarket made a comeback in the U.S. following a CFTC-approved relaunch, after being forced to cease operations in 2022 due to regulatory enforcement. The startup is reportedly in early discussions with investors to raise additional funding at a valuation of $12–15 billion.

Kalshi, which is federally regulated, saw its valuation soar to $11 billion following a reported $1 billion funding round.

The two companies account for more than 90% of the prediction industry, according to data from Dune Analytics.

However, their sports event contracts have faced legal challenges, as multiple states allege they are operating unlicensed online gambling.

Price Action: Gemini shares rallied 13.73% in after-hours trading after closing 0.70% lower at $11.36 during Wednesday’s regular trading session.

Benzinga’s Edge Stock Rankings indicate that GEMI maintains a weaker price trend over the short, medium and long terms. How does it compare with Coinbase Global Inc. (NASDAQ:COIN) and other cryptocurrency-linked stocks? Visit Benzinga Edge Stock Rankings to find out.

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Disclaimer: This content was partially produced with the help of Benzinga Neuro and was reviewed and published by Benzinga editors.

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