Gemini to exit EU, UK, Australia; cuts 25% of workforce as tech stocks slide

Crypto exchange Gemini on Thursday announced plans to shut down its operations in the European Union, the United Kingdom, and Australia, while cutting around a quarter of its global workforce. The move, part of a broader cost-cutting and strategic restructuring effort, sent Gemini shares down 5% in early trading.

The shake-up at Gemini comes amid a challenging environment for cryptocurrency firms, with rising regulatory scrutiny and slowing market activity prompting many players to scale back operations. Company executives said the decision would allow Gemini to focus resources on its core markets and streamline its operations for long-term sustainability.

The news weighed on broader market sentiment, particularly in the technology sector. Qualcomm shares tumbled 11% at the opening bell, marking the chipmaker’s steepest decline since 2023. Alphabet, the parent company of Google, saw its shares fall 7%, recording its largest intraday drop since May 7.

Not all health-related stocks faced declines. Hims & Hers Health surged nearly 10%, reflecting optimism in the telehealth and consumer health segment, while Eli Lilly shares dipped 3.8%.

Commodities also faced pressure, with the NYSE Arca Gold Miners Index opening 4% lower, reflecting broader risk-off sentiment in markets amid global economic uncertainty.

Analysts said the combination of tech sector volatility and turbulence in cryptocurrency markets underscores the ongoing challenges facing both traditional and digital financial players.