Gemini’s quarterly retail trading volume sinks to 3-year low

Crypto exchange Gemini has just reported its lowest quarterly retail trading volume in three years, despite an increase in overall crypto trading volume.

Total spot trading volume rose 18% from the second quarter to $4.5 billion, according to Gemini’s Q3 earnings report. Institutional volume climbed 26% to $3.9 billion, while retail volume fell 14% to $600 million, its lowest level since the third quarter of 2023. 

Gemini said the quarterly increase in spot trading volume was “supported by increased institutional Zcash activity and expanded affiliated market-making,” but did not give a specific reason for the decline in retail trading. 

Despite the retail slump, Gemini’s exchange revenue increased 7% from the previous quarter to $13.4 million as institutional revenue more than doubled. Retail traders remained its largest source of exchange revenue, contributing nearly three-quarters of the total.

Crypto exchanges turn to prediction markets for growth 

A number of crypto exchanges also reported softer crypto trading activity in the most recent quarter. 

Coinbase reported softer retail and institutional activity, with consumer spot trading volume falling 9% from the previous quarter to $23.4 billion. Coinbase chief financial officer Alesia Haas said “continued growth in prediction markets helped offset softer crypto trading activity.”