Leading cryptocurrency exchange Gemini is relocating to Malta from Ireland.
Gemini will now use Malta as its European headquarters, with the Irish Independent describing that as a “blow” to Ireland’s drive to develop its blockchain and cryptocurrency sectors.
The company confirmed the relocation decision in reply to questions from Times of Malta.
“We chose Malta due to its proactive approach to fostering innovation among fintech and digital assets,” said Gemini’s Head of Europe, Mark Jennings.
“The regulatory landscape in Europe is very different now than it was six years ago, which influenced our strategic considerations. We considered our options based on the countries that we have VASP (Virtual Asset Service Provider) licenses in, and chose the jurisdiction that best supports our growth plans.”
Jennings said Gemini would be opening a small office in Malta “very soon”, featuring key personnel from its other global offices.
“We are already planning an expansion of the team, including recruitment of a talented local team to help boost our European expansion,” he said.
According to public data, Gemini obtained a licence as a Virtual Financial Assets operator with the MFSA in November 2024 through its European arm Gemini Intergalactic EU Ltd.
Economy Minister Silvio Schembri said Malta’s early drive to regulate the cryptocurrency sector was being vindicated.
“We’re now attracting serious interest from some big players in the space, and we’ve got a head start because we were so early to legislate,” Schembri told Times of Malta.
Schembri was the key proponent of Malta’s push to become a ‘blockchain island’ in 2018. That drive gradually faded from public interest as crypto markets crashed and various global players either went bankrupt or faced criminal prosecutions.
But while the headlines died down, work to regulate the sector at EU level continued. In 2023, the European Union adopted its Markets in Crypto Assets (MiCA) framework, which effectively introduced EU-wide rules and licencing requirements for crypto operators across its 27 member states. The MiCA framework became enforceable last December.
Schembri said the EU’s MiCA framework was in large part a mirror image of Malta’s 2018 Virtual Financial Services Act.
“Our regulators already have years of experience in the sector, and that gives us an advantage when compared to other jurisdictions,” he said. “The initial boom and bust of the crypto sector flushed out many operators, and now the industry is maturing. Just as the gaming sector took a decade to really get off the ground, the same is now happening in crypto,” the minister argued.
He cited two other large players in the sector – Socios and Crypto.com – as examples of established companies applying for Maltese licences.
Irish sector concerned about move
The Irish Independent reported concern about Gemini's decision to refocus on Malta.
A sectoral lobbyist said the move was "deeply concerning" and industry executives told the media outlet that they feared a snowball effect for crypto companies seeking to establish European bases.
Gemini was founded in 2014 and handles trading volumes of roughly $200 million over a 24-hour period, according to tracking website Coinmarketcap.
Its founders, the Harvard-educated Winklevoss twins Cameron and Tyler catapulted to public attention more than a decade ago when they sued Mark Zuckerberg over the origins of Facebook. They eventually settled in exchange for US$65 million and shifted their focus to cryptocurrency.
The brothers have had their fair share of legal problems. A Gemini-linked firm settled a lawsuit brought by New York prosecutors for misleading investors by agreeing to return at least $1.1 billion to customers and pay a $37 million fine last year. And in a separate case, Gemini’s US arm agreed to pay a $5 million fine to end a probe into allegedly misleading statements about Bitcoin futures markets.
The Winklevoss twins endorsed Donald Trump in the US presidential race and each donated $1 million worth of Bitcoin to his campaign. Those donations were refunded for exceeding the maximum allowable private donation limit.
Trump – who launched his own crypto project one day before his presidential inauguration – has pledged to lead a crypto-friendly administration and rewrite rules for the sector.