Gemini Secures Derivatives License, Enters Regulated Prediction Markets

Gemini, the cryptocurrency exchange founded by Cameron and Tyler Winklevoss, has received approval from the U.S. Commodity Futures Trading Commission (CFTC) for a derivatives clearinghouse (DCO) license. This development enables Gemini to clear and settle trades internally, rather than relying on external providers, and grants the company greater control over its prediction market products. As a result, Gemini's shares experienced a 7% surge following the announcement. The prediction market sector has witnessed significant growth, with trading volumes increasing by over 300% in 2025 to $63.5 billion. Gemini's expansion into this sector is expected to pose a challenge to existing players such as Kalshi and Polymarket, while also attracting attention from Wall Street. The company's plans include offering a full-stack trading ecosystem that spans sports, cryptocurrency, futures, options, and event-based contracts, as well as expanding into cryptocurrency futures, options, and perpetuals for U.S. users. According to Cameron Winklevoss, this development marks a significant milestone in Gemini's marketplace expansion, as the company strives to create a 'super app' for financial services.