Gemini Executive Accused of Securities Fraud
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 5 days ago
0mins
Should l Buy GEMI?
Source: Globenewswire
- Executive Fraud Allegations: Marshall Beard, former COO of Gemini Space Station, Inc., is accused in a securities class action of concealing critical information, resulting in over 76% loss for investors as shares plummeted from the IPO price of $28 to $6.585, equating to a loss of $21.415 per share.
- Profits from Stock Sales: During the class period, Beard sold 479,901 shares of Gemini stock, netting approximately $11.8 million, while shareholders faced catastrophic losses, raising serious questions about his conduct.
- Misleading Statements Impact: In the Q3 earnings call on November 10, 2025, Beard claimed Gemini was making significant progress, yet the company subsequently exited the UK, EU, and Australian markets, highlighting the misleading nature of his statements.
- Legal Accountability Issues: Under Section 20(a) of the Exchange Act, Beard is alleged to be a controlling person of Gemini, possessing authority over SEC filings and market communications, and failing to disclose adverse material information to investors, thus facing serious legal accountability.
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Analyst Views on GEMI
Wall Street analysts forecast GEMI stock price to rise
9 Analyst Rating
6 Buy
3 Hold
0 Sell
Moderate Buy
Current: 4.750
Low
11.00
Averages
18.78
High
26.00
Current: 4.750
Low
11.00
Averages
18.78
High
26.00
About GEMI
Gemini Space Station, Inc. is a holding company. The Company, through its subsidiary, Gemini Space Station, LLC, offers a mobile and Web-based crypto asset exchange platform, proprietary wallet infrastructure and custody solutions, high-performance over-the-counter trading solutions tailored to institutions and professionals, a digital art auction platform, a proprietary United States dollar backed stablecoin, and a credit card product that offers crypto asset rewards on customer purchases. The Company operates globally and provides security solutions across all of its product offerings. Its platform simplifies and secures the process of buying, selling, storing, staking, and collecting digital assets. It provides accessible and straightforward educational resources to help its users understand the intricacies of crypto assets. Its Gemini Credit Card, an innovative credit card made available by Gemini, allows users to earn and grow crypto rewards every time they swipe.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Gemini Space Station Faces Class Action Lawsuit Amid 75% Stock Decline
- Class Action Initiated: Hagens Berman has filed a class action lawsuit against Gemini Space Station, Inc., alleging that the company failed to disclose critical financial information during its IPO, resulting in a stock price decline of over 75% from its $28 IPO price to below $7, severely harming investors' interests.
- False Statement Allegations: The lawsuit claims that Gemini overstated the viability of its core cryptocurrency exchange platform in its IPO materials and failed to disclose an imminent pivot to prediction markets, undermining investor confidence in the company's future prospects.
- Mass Executive Exodus: Following the announcement of a 25% workforce reduction and exit from the UK and Australia markets, Gemini simultaneously parted ways with its COO, CFO, and Chief Legal Officer on February 17, 2026, indicating significant internal turmoil and a drastic shift in strategic direction.
- Financial Loss Projections: Gemini is projected to face a net loss of $602 million for 2025, exacerbating market concerns about its future and further driving down its stock price, leaving investors with substantial losses.
See More
Coinbase and Kraken Account for 22% of AI Mentions in Crypto
- Market Share Analysis: According to the 5W Public Relations’ 2026 Crypto AI Visibility Index, Coinbase and Kraken together account for 22% of AI mentions in the crypto sector, highlighting their significant presence in consumer intent queries, far exceeding other U.S. exchanges.
- Regulatory Credibility Advantage: Gemini ranks third in the crypto market due to its “regulatory-credibility moat,” possessing a NYDFS trust company charter and full-reserve model, which allows it to lead in regulated trust prompts despite its smaller market scale.
- BlackRock IBIT's Market Impact: BlackRock's IBIT claims between 45% and 49% of U.S. spot Bitcoin ETF assets and an even larger share of Bitcoin ETF AI mentions, demonstrating its rapid consolidation in crypto asset management.
- Retail Sentiment Shift: Although Coinbase's stock dipped 0.1% in after-hours trading, its retail sentiment on Stocktwits remains in the 'bullish' zone, while Kraken's sentiment is in the 'neutral' range, reflecting differing market perceptions of these two companies.
See More
GEMI Faces Securities Fraud Class Action Lawsuit
- Lawsuit Background: A securities fraud class action lawsuit has been filed by Kessler Topaz Meltzer & Check, LLP against Gemini Space Station, Inc., concerning GEMI stock purchases made between September 12, 2025, and February 17, 2026, highlighting significant investor concerns regarding the company's financial transparency.
- Stock Price Plunge: Following the announcement of a 25% workforce reduction and exit from several international markets, GEMI's stock price fell by 8.72% to $6.70 per share on February 5, 2026, indicating strong market unease about the company's future operational model.
- Deteriorating Financial Condition: On February 17, 2026, preliminary financial results revealed a 40% increase in operating expenses, causing the stock price to drop another 12.9% to $6.585 per share, underscoring the financial pressures and potential restructuring risks facing the company.
- Investor Action: Investors are urged to apply for lead plaintiff status in the class action by May 15, 2026, to represent other investors in the lawsuit, reflecting concerns over corporate governance and financial transparency.
See More
Class Action Lawsuit Filed Against Gemini Space Station, Inc.
- Class Action Initiation: Bragar Eagel & Squire, P.C. announces a class action lawsuit against Gemini Space Station, Inc. for investors who purchased or acquired Gemini Class A common stock between September 12, 2025, and February 17, 2026, aiming to protect investor rights and seek compensation.
- Allegations of False Statements: The complaint alleges that Gemini overstated the viability of its core business as a crypto platform and concealed the true state of its international expansion efforts, leading investors to misunderstand the company's post-IPO financial prospects and increasing the risk of a costly restructuring.
- Investor Rights Protection: Investors must apply by May 18, 2026, to be appointed as lead plaintiff in the lawsuit to ensure their rights in the legal process, with Bragar Eagel & Squire offering free consultations and encouraging affected investors to reach out.
- Law Firm Background: Bragar Eagel & Squire, P.C. is a nationally recognized law firm specializing in representing individual and institutional investors in securities, derivative, and commercial litigation, boasting extensive litigation experience and a broad nationwide practice.
See More
Reminder for Gemini Space Station Investors on Class Action Lawsuit
- IPO Price Collapse: Gemini Space Station conducted its IPO on September 12, 2025, selling 15.2 million shares at $28.00 each, but by February 17, 2026, the stock price plummeted to $5.96, representing a staggering 78.7% decline that severely harmed investors' interests.
- Major Business Shift: On February 5, 2026, Gemini announced a pivot to 'Gemini 2.0', which included a 25% workforce reduction and exiting several international markets, causing an 8.7% drop in stock price that day, reflecting market concerns about its future viability.
- Executive Departures Impact: On February 17, 2026, the departure of the COO, CFO, and Chief Legal Officer was announced, alongside preliminary financial results indicating a 40% increase in operating expenses, which further unsettled investors and led to a 12.9% decline in stock price.
- Class Action Context: Investors have initiated a class action lawsuit due to the company's failure to disclose significant risks during the IPO period, alleging misleading statements regarding business prospects that could lead to greater financial losses for investors in the future.
See More
Gemini Space Station Faces Class Action Lawsuit
- Class Action Initiated: Hagens Berman has filed a class action lawsuit against Gemini Space Station, Inc. and its executives, alleging significant misstatements during the IPO that led to a stock price decline of over 75% from its initial offering price.
- Post-IPO Stock Plunge: Since the September 12, 2025 IPO, Gemini's stock has plummeted from $28 to below $7, reflecting false representations regarding the company's ability to expand internationally, resulting in substantial investor losses.
- Crisis from Strategic Shift: On February 5, 2026, Gemini announced a pivot to prediction markets and a 25% workforce reduction, which exacerbated market concerns about its future, further impacting the stock price negatively.
- Mass Executive Exodus: Less than six months post-IPO, Gemini announced the simultaneous departure of its COO, CFO, and Chief Legal Officer, indicating internal management turmoil that may heighten investor skepticism regarding its governance structure.
See More
Gemini Space Station Faces Class Action Lawsuit Amid 75% Stock Decline
- Class Action Initiated: Hagens Berman has filed a class action lawsuit against Gemini Space Station, Inc., alleging that the company failed to disclose critical financial information during its IPO, resulting in a stock price decline of over 75% from its $28 IPO price to below $7, severely harming investors' interests.
- False Statement Allegations: The lawsuit claims that Gemini overstated the viability of its core cryptocurrency exchange platform in its IPO materials and failed to disclose an imminent pivot to prediction markets, undermining investor confidence in the company's future prospects.
- Mass Executive Exodus: Following the announcement of a 25% workforce reduction and exit from the UK and Australia markets, Gemini simultaneously parted ways with its COO, CFO, and Chief Legal Officer on February 17, 2026, indicating significant internal turmoil and a drastic shift in strategic direction.
- Financial Loss Projections: Gemini is projected to face a net loss of $602 million for 2025, exacerbating market concerns about its future and further driving down its stock price, leaving investors with substantial losses.
See More
Coinbase and Kraken Account for 22% of AI Mentions in Crypto
- Market Share Analysis: According to the 5W Public Relations’ 2026 Crypto AI Visibility Index, Coinbase and Kraken together account for 22% of AI mentions in the crypto sector, highlighting their significant presence in consumer intent queries, far exceeding other U.S. exchanges.
- Regulatory Credibility Advantage: Gemini ranks third in the crypto market due to its “regulatory-credibility moat,” possessing a NYDFS trust company charter and full-reserve model, which allows it to lead in regulated trust prompts despite its smaller market scale.
- BlackRock IBIT's Market Impact: BlackRock's IBIT claims between 45% and 49% of U.S. spot Bitcoin ETF assets and an even larger share of Bitcoin ETF AI mentions, demonstrating its rapid consolidation in crypto asset management.
- Retail Sentiment Shift: Although Coinbase's stock dipped 0.1% in after-hours trading, its retail sentiment on Stocktwits remains in the 'bullish' zone, while Kraken's sentiment is in the 'neutral' range, reflecting differing market perceptions of these two companies.
See More
GEMI Faces Securities Fraud Class Action Lawsuit
- Lawsuit Background: A securities fraud class action lawsuit has been filed by Kessler Topaz Meltzer & Check, LLP against Gemini Space Station, Inc., concerning GEMI stock purchases made between September 12, 2025, and February 17, 2026, highlighting significant investor concerns regarding the company's financial transparency.
- Stock Price Plunge: Following the announcement of a 25% workforce reduction and exit from several international markets, GEMI's stock price fell by 8.72% to $6.70 per share on February 5, 2026, indicating strong market unease about the company's future operational model.
- Deteriorating Financial Condition: On February 17, 2026, preliminary financial results revealed a 40% increase in operating expenses, causing the stock price to drop another 12.9% to $6.585 per share, underscoring the financial pressures and potential restructuring risks facing the company.
- Investor Action: Investors are urged to apply for lead plaintiff status in the class action by May 15, 2026, to represent other investors in the lawsuit, reflecting concerns over corporate governance and financial transparency.
See More
Class Action Lawsuit Filed Against Gemini Space Station, Inc.
- Class Action Initiation: Bragar Eagel & Squire, P.C. announces a class action lawsuit against Gemini Space Station, Inc. for investors who purchased or acquired Gemini Class A common stock between September 12, 2025, and February 17, 2026, aiming to protect investor rights and seek compensation.
- Allegations of False Statements: The complaint alleges that Gemini overstated the viability of its core business as a crypto platform and concealed the true state of its international expansion efforts, leading investors to misunderstand the company's post-IPO financial prospects and increasing the risk of a costly restructuring.
- Investor Rights Protection: Investors must apply by May 18, 2026, to be appointed as lead plaintiff in the lawsuit to ensure their rights in the legal process, with Bragar Eagel & Squire offering free consultations and encouraging affected investors to reach out.
- Law Firm Background: Bragar Eagel & Squire, P.C. is a nationally recognized law firm specializing in representing individual and institutional investors in securities, derivative, and commercial litigation, boasting extensive litigation experience and a broad nationwide practice.
See More
Reminder for Gemini Space Station Investors on Class Action Lawsuit
- IPO Price Collapse: Gemini Space Station conducted its IPO on September 12, 2025, selling 15.2 million shares at $28.00 each, but by February 17, 2026, the stock price plummeted to $5.96, representing a staggering 78.7% decline that severely harmed investors' interests.
- Major Business Shift: On February 5, 2026, Gemini announced a pivot to 'Gemini 2.0', which included a 25% workforce reduction and exiting several international markets, causing an 8.7% drop in stock price that day, reflecting market concerns about its future viability.
- Executive Departures Impact: On February 17, 2026, the departure of the COO, CFO, and Chief Legal Officer was announced, alongside preliminary financial results indicating a 40% increase in operating expenses, which further unsettled investors and led to a 12.9% decline in stock price.
- Class Action Context: Investors have initiated a class action lawsuit due to the company's failure to disclose significant risks during the IPO period, alleging misleading statements regarding business prospects that could lead to greater financial losses for investors in the future.
See More
Gemini Space Station Faces Class Action Lawsuit
- Class Action Initiated: Hagens Berman has filed a class action lawsuit against Gemini Space Station, Inc. and its executives, alleging significant misstatements during the IPO that led to a stock price decline of over 75% from its initial offering price.
- Post-IPO Stock Plunge: Since the September 12, 2025 IPO, Gemini's stock has plummeted from $28 to below $7, reflecting false representations regarding the company's ability to expand internationally, resulting in substantial investor losses.
- Crisis from Strategic Shift: On February 5, 2026, Gemini announced a pivot to prediction markets and a 25% workforce reduction, which exacerbated market concerns about its future, further impacting the stock price negatively.
- Mass Executive Exodus: Less than six months post-IPO, Gemini announced the simultaneous departure of its COO, CFO, and Chief Legal Officer, indicating internal management turmoil that may heighten investor skepticism regarding its governance structure.
See More
