Gemini is a fully licensed US exchange with a clean hack record, but fees of 0.40% on ActiveTrader make it expensive. Here's who should use it and who should look elsewhere.
Gemini is a US-based Bitcoin and cryptocurrency exchange founded in 2014 by Tyler and Cameron Winklevoss. It's one of the most regulated exchanges in America — licensed in all 50 states including New York — but those compliance credentials come with a price: Gemini charges some of the highest fees in the industry.
The short verdict: Gemini is a solid choice if you prioritize regulatory compliance and US licensing above everything else. If you care most about fees, better options exist.
| Feature | Details |
|---|---|
| Founded | 2014 (New York) |
| Founders | Tyler & Cameron Winklevoss |
| US States | All 50 including NY |
| Taker Fee (ActiveTrader) | 0.40% |
| Basic Interface Fee | 1.49%–2.99% |
| Security | SOC 2 Type 2, cold storage |
| Insurance | Yes (hot wallet, custody) |
| NYDFS License | Yes (BitLicense holder) |
| Notable Incident | Gemini Earn collapse 2023 |
| Our Rating | 3.5 / 5 |
Gemini has two interfaces — the Basic interface and ActiveTrader — with dramatically different fee structures.
Basic interface (what most users see first):
That 1.49% on large transactions is steep. If you're buying $5,000 of Bitcoin, you're paying $74.50 in fees.
ActiveTrader (the pro interface):
ActiveTrader is much better, but still 54% more expensive than Kraken (0.26% taker) and the same as Coinbase Advanced Trade (0.40% taker). If you're comparing US exchanges by fee efficiency:
| Exchange | Taker Fee | NY Available |
|---|---|---|
| Kraken | 0.26% | No |
| Coinbase Advanced | 0.40% | Yes |
| Gemini ActiveTrader | 0.40% | Yes |
| Binance.US | Suspended US ops | No |
The takeaway: For active traders in New York, Gemini is actually the best fee option because Kraken doesn't serve NY. For everyone else, Kraken beats it on price.
Gemini has never been hacked. Its exchange wallet has not been compromised. That's worth noting given the history of exchange failures.
However, Gemini Earn — a now-defunct lending product — suffered a catastrophic collapse in 2023. Gemini Earn partnered with Genesis Capital to offer yield on customer deposits. When Genesis went bankrupt following the FTX contagion, approximately $900 million in customer funds were frozen. After a prolonged legal battle, Gemini ultimately returned approximately 97 cents on the dollar to affected users.
Important distinction: this was a lending product, not the exchange itself. Gemini's trading platform and cold storage were not affected. But it damaged Gemini's reputation significantly.
Security infrastructure:
Gemini holds the New York BitLicense — widely considered the most difficult crypto license to obtain in the United States. This means Gemini is subject to:
Gemini is licensed to operate in all 50 US states. This is a significant advantage over Kraken, which is not available in New York.
For institutional clients, Gemini offers:
Core exchange:
Gemini Credit Card: A Mastercard that earns Bitcoin on purchases — up to 3% back on dining, 2% on groceries, 1% elsewhere. No annual fee. Rewards deposited automatically into your Gemini account. If you already use Gemini, this is a legitimate way to stack sats passively. See our best Bitcoin rewards cards guide for how it stacks up.
Custody: Gemini Custody is used by institutional clients and serves as the custodian for several Bitcoin ETFs. Fidelity's FBTC ETF, for example, uses Fidelity Digital Assets directly, while other fund managers use Gemini Custody.
What Gemini no longer offers:
| Category | Gemini | Coinbase | Kraken |
|---|---|---|---|
| Taker Fee | 0.40% | 0.40% | 0.26% |
| NY Available | Yes | Yes | No |
| SOC 2 Type 2 | Yes | Yes | Yes |
| Major Hack | No | Data breach (2024) | No |
| Earn Product Failure | Yes (2023) | No | No |
| Bitcoin-Only Option | No | No | No |
| Institutional Custody | Yes | Yes | Yes |
| BitLicense | Yes | Yes | No (not in NY) |
For a head-to-head deep dive, see our Kraken vs Coinbase comparison.
Gemini is the right choice if:
You should probably use Kraken instead if:
You should use Coinbase instead if:
No matter which exchange you use — Gemini, Coinbase, or Kraken — leaving large amounts of Bitcoin on an exchange is a risk you don't need to take. The Gemini Earn collapse is a reminder that exchange products can fail even at well-run companies.
For serious holdings, move your Bitcoin to a hardware wallet. The Coldcard Mk4 and Foundation Passport are excellent choices for self-custody. Our cold storage guide covers the full setup process.
You can also learn how to use a multisig wallet setup for maximum security.
Gemini is a trustworthy, well-regulated exchange with an impressive compliance record. The Gemini Earn situation was a painful chapter, but it was contained to a voluntary lending product — not the exchange itself.
The core problem is fees. At 0.40% taker on ActiveTrader (and much worse on the basic interface), Gemini costs more than it should for most US buyers. The only case where Gemini wins on fees is New York state, where Kraken simply isn't available.
Bottom line: If you're in New York, Gemini is your best regulated option. If you're anywhere else, start with Kraken for trading and Coinbase for ease of use.
Is Gemini safe? Gemini's exchange has never been hacked. It holds a New York BitLicense and is SOC 2 Type 2 certified. The 2023 Gemini Earn collapse involved a third-party lending product, not the exchange itself. For exchange use, Gemini has a strong safety record.
Does Gemini charge high fees? On the basic interface, yes — up to 1.49% for transactions over $200. On ActiveTrader, fees are 0.20% maker / 0.40% taker, which is competitive for a US exchange but still higher than Kraken.
Is Gemini available in New York? Yes. Gemini holds the New York BitLicense, making it one of the few major exchanges fully licensed in New York State.
What happened to Gemini Earn? Gemini Earn was a lending product that deposited user funds with Genesis Capital for yield. When Genesis collapsed in 2023, funds were frozen. After legal proceedings, Gemini distributed approximately 97 cents on the dollar to Earn users. The product has been shut down.
Does Gemini have a Bitcoin credit card? Yes. The Gemini Credit Card earns up to 3% back in Bitcoin on purchases with no annual fee. Rewards are deposited directly into your Gemini account.
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