Nasdaq (NDAQ) is planning to invest $50 million U.S. in the Gemini cryptocurrency exchange in a private placement that’s tied to the company’s upcoming initial public offering (IPO).
Gemini is the cryptocurrency exchange founded and run by twin brothers Cameron and Tyler Winklevoss. It plans to go public on the Nasdaq Composite exchange Sept. 12.
The crypto exchange plans to trade under the ticker symbol “GEMI.”
In its last round of private financing, Gemini was valued at $7.1 billion U.S. The company is expected to raise $400 million U.S. from its stock sale.
The deal with Nasdaq apparently goes beyond a typical equity stake. After the IPO, Nasdaq’s clients will gain access to Gemini’s custody and staking services.
Additionally, Gemini’s institutional clients will be able to use elements of Nasdaq’s Calypso system, a multi-asset trading and risk management platform.
Gemini is the latest in a series of cryptocurrency companies that have gone public in recent months, following Circle (CRCL) and Bullish (BLSH).
Gemini will become the third publicly traded U.S. cryptocurrency exchange along with Coinbase Global (COIN) and Bullish.
Nasdaq, which owns and operates a total of three stock exchanges in the U.S., has seen its share price rise 23% this year to trade at $94.99 U.S.
