Gemini Review 2023: An Expert's Comprehensive Analysis

• Strong and safe exchange

• Useful for casual investors

• Available to users around the globe 

• Higher than average fees

Gemini is a digital asset exchange and custodian that allows customers around the globe to buy, sell, and store cryptocurrencies among many other features.

screenshot from https://www.gemini.com/exchange

Despite only offering 100 different types of cryptocurrencies, the platform is created by well-known entrepreneurs and investors in the cryptocurrency space, and is instead renowned for its focus on security and compliance, including being regulated by the New York State Department of Financial Services, rather than boasting an array of random cryptocurrencies.

Additionally, the platform is available worldwide, including all 50 States in the US, which is sure to rub Binance up the wrong way. Still, is the juice of this exchange worth the squeeze? Join CoinScan as we find out.

Delving into the space before the most significant cryptocurrency exchange giants - Binance and Coinbase - Gemini is a digital asset exchange and custodian founded in 2014 by the Winklevoss twins, Cameron and Tyler.

The twins are well-known entrepreneurs and investors in the technology and cryptocurrency sphere. They first gained widespread attention for their involvement in the creation of the social networking site Facebook, best known for their legal battle with Mark Zuckerberg over the founding of Facebook.

cellanr, CC BY-SA 2.0, via Wikimedia Commons

After losing the legal battle, the Winklevoss twins used some of the settlement money to invest in Bitcoin and other cryptocurrencies. They saw an opportunity to create a regulated exchange for cryptocurrency trading and founded Gemini in 2014, turning all of their attention to the emerging world of cryptocurrency.

Gemini was one of the first regulated cryptocurrency exchanges in the world and quickly gained a reputation for its focus on security and compliance. In 2015, the exchange received approval from the New York State Department of Financial Services (NYDFS) to offer Bitcoin and Ethereum trading to customers in the state of New York, before expanding to all 50 US States and across the globe.

Since its founding, Gemini has continued to expand its offerings and now supports a wide range of cryptocurrencies, including Bitcoin, Ethereum, Litecoin, and a number of other altcoins.

screenshot from gemini.com https://www.gemini.com/institutions/custody

It has also added support for institutional traders and offers a range of services, such as custody and over-the-counter (OTC) trading.

Gemini is designed to be user-friendly and easy to use, with a clean and intuitive interface that makes it easy for users to buy and sell cryptocurrency. The exchange has a simple registration process that allows users to create an account and begin trading in a matter of minutes.

The exchange's trading platform is straightforward and easy to use, with a range of tools and features that are useful for both beginner and advanced traders.

Screenshot from gemini.com https://www.gemini.com/tradingview

For example, the platform includes a range of order types that allow users to customize their trades, as well as charts and other tools that can help users make informed trading decisions. It's pretty apparent that Gemini places a strong focus on simplicity and ease of use, even providing simple features such as a portfolio tracker on the platform so users can easily keep track of their holdings broken down by assets and overall performance shown on a chart.

screenshot from gemini.com

Altogether, Gemini's marketplace is well-designed and easy to use, with a range of features that make it accessible to all. 

Gemini is a well-regarded and popular cryptocurrency exchange that is widely used by both retail and institutional investors. The exchange is known for its focus on security and compliance, and is regulated by the New York State Department of Financial Services, which gives users confidence in the platform. 

One unique feature of the exchange is "Gemini Clearing" , which allow users to buy and sell (ideally large) amounts of cryptocurrency over the counter to other Gemini users.

screenshot from gemini.com https://www.gemini.com/fees/marketplace#section-gemini-clearing%E2%84%A2

This is useful for traders looking to execute large trades without disrupting the market or avoid performing those transactions 'on-chain'.

Customers also appear to enjoy accessing the education section on the website, which contains a variety of resources and materials designed to help users learn about digital assets, blockchain technology, and how to safely and securely buy, sell, and store digital assets – all of which is necessary for users to make informed decisions about their digital asset investments. 

Nevertheless, a significant disadvantage of the platform is that it offers fewer coins than other exchanges with just over 80 tokens to date – especially considering other cryptocurrency exchanges like KuCoin has more than 700, and Binance has over 350.

Gemini's most active trading pair is BTC/USD with a 24-hour trading volume of $5,904.428.92. In total, the exchange has a 24-hour trading volume of $16,125,419.91. 

Overall, Gemini is hot in the sphere because of being a reputable and reliable exchange that is widely used by a range of investors. While it may not have the same level of popularity as some of the larger exchanges, it has a strong reputation and a loyal user base who continuously come back for more. 

Gemini has a customer support team that is available to assist users with any issues or questions they may have. The exchange offers a number of ways for users to get in touch with customer support, which can be found here. 

Users can send an email to [email protected] with their questions or issues. However, emails typically take longer than 24 hours, therefore, isn’t always the ideal method if needing to talk to someone immediately. 

Like other cryptocurrency exchanges, including the giants Binance and Coinbase, Gemini unfortunately does not include a customer support phone number, despite being the easiest option for customers to get solutions and advice when necessary. 

screenshot from gemini.com https://support.gemini.com/hc/en-us

For users to get in contact real-time, the only option is its 24/7 online chat feature on the Gemini website. Although the chat support is typically good at responding to all questions in a timely and suitable manner, it’s important to note that more complex or technical issues may take longer to resolve.

The platform also has an active presence on social media platforms such as Twitter and Reddit, and users can reach out to the exchange through these channels for assistance if necessary. 

Overall, Gemini is known for having a responsive and helpful customer support team that is available to assist users with a wide range of issues through numerous mediums.

Of course, it is not uncommon for users to experience some issues or delays when using the exchange. But, in general, the platform has a pretty good reputation and is known for resolving issues in a timely and efficient manner.

Gemini charges fees for its trading services, which are based on the volume of trades that a user executes over a 30-day period. The standard fees for most users who will trade less than $10,000 are 0.40% for taker and 0.20% for maker, which is slightly high compared to the average exchange.

For example, for trades up to $500,000, takers fees are 0.35%, whereas makers do not face any charges. For trades between $500,000 and $1,000,000: 0.30% for takers and 0% for makers.

However, takers have a 0.25% fee and makers 0% for trades between $1,000,000 and $5,000,000. Transactions over 5,000,000 takers have 0.20% fees, and markers still are not charged anything. 

Screenshot from gemini.com https://www.gemini.com/fees/activetrader-fee-schedule#section-active-trader-fee-schedule

Additionally, Gemini charges fees for other services, such as withdrawing cryptocurrency from the exchange or storing cryptocurrency in a Gemini account. The specific fees depend on the digital asset being withdrawn and the destination of the withdrawal, for instance: Bitcoin (0.0005 BTC), Ethereum (0.005 ETH), Litecoin (0.001 LTC), Chainlink (0.01 LINK), etc., 

Luckily, Gemini does not charge any fees for deposits of digital assets. However, some deposits may be subject to network fees or miner fees, which are required to process the transaction on the blockchain.

Although, it is crucial to note that these fees may change over time, so it's a good idea to check the latest fees on the Gemini website or through the exchange's API before initiating a withdrawal. 

Gemini's fees are not too competitive with other exchanges, so it's a good idea to compare fees across multiple exchanges before deciding which one to use. It's also a good idea to consider the other features and services that an exchange offers, such as security measures, user experience, and customer support, when deciding which exchange to use.

Both Gemini and Crypto.com have made substantial strides in the rapidly growing cryptocurrency industry, positioning themselves as user-friendly and trusted platforms.

Established with the mission to promote crypto adoption among the masses, each offers a suite of services beyond just trading, including secure storage solutions, staking options, and interest-earning accounts.

As part of their commitment to attract both newbies and seasoned traders, they invest heavily in user experience, ensuring sleek, intuitive interfaces across both web and mobile applications. Furthermore, both exchanges emphasize robust security measures, assuring users of the safety of their assets with features like cold storage, encryption, and two-factor authentication.

While they share some foundational similarities, Gemini and Crypto.com diverge in their operational approach and market strategy.

Gemini, founded by the Winklevoss twins, has a strong foothold in the U.S. market and places immense emphasis on regulatory compliance, positioning itself as a platform that bridges the traditional financial world with the new era of digital assets. Their emphasis on regulation provides an added layer of trust but can also limit the range of assets they list.

Crypto.com, in contrast, takes a more global approach, offering a broader range of services, including its own branded debit card that allows users to spend their cryptocurrency.

Additionally, Crypto.com's native token, $CRO, plays a central role in its ecosystem, offering users a myriad of benefits, from discounted trading fees to enhanced staking rewards, positioning the platform as a comprehensive crypto ecosystem.

Gemini places a strong emphasis on security and has implemented several measures to protect its users' assets. Some of the security measures that the exchange has in place include:

• Cold storage: Most of the cryptocurrency held by Gemini is stored in offline, or "cold," storage. This means that the assets are not connected to the internet and are therefore less vulnerable to hacking.

• Two-factor authentication: Gemini requires users to enable two-factor authentication (2FA) in order to log in to their accounts. This adds an extra layer of security by requiring users to enter a code that is sent to their phone or email in addition to their login credentials.

• Encrypted communications: Gemini uses secure encrypted communication channels to protect the data transmitted between its servers and users' devices.

• Regular audits: Gemini undergoes regular audits to ensure that its security practices are in compliance with industry standards.

Another plus side is that, in case an unfortunate event occurs, such as a security breach or hack, a fraudulent transfer, or employee theft, the company’s digital assets are insured against such lessons (though it does not how much coverage it carries). To meet the KYC requirements of Gemini, customers must also provide personal identification, address verification, selfie verification and business information (for corporate accounts)

Overall, Gemini has a strong reputation for security and has taken significant measures to protect its users' assets. However, it's important to remember that no exchange is completely secure, and users should always take steps to protect their own assets, such as enabling 2FA and using strong passwords.

Gemini has generally not been involved in significant controversies, and has a reputation for being a reliable and well-respected exchange. However, there have been a few notable incidents involving the exchange:

• In 2017, the exchange experienced a temporary outage due to a problem with one of its data centers. This led to some users being unable to access their accounts or place trades, causing frustration among some users.

• A year afterward, in 2018, the exchange was hit by a distributed denial of service (DDoS) attack, which temporarily disrupted its operations. The attack was carried out by a group of hackers who were able to flood the exchange's servers with traffic, causing them to become overwhelmed and crash.

• Following this, in 2019, the exchange faced criticism from some quarters for its decision to list the stablecoin Tether (USDT), which has been the subject of controversy and legal scrutiny over its claims of being fully backed by US dollars. Some users have expressed concern about the potential risks associated with using USDT, and have called on exchanges like Gemini to be more transparent about their relationship with the stablecoin.

Therefore, while Gemini has not been involved in any major controversies, it has faced a few notable challenges and has faced criticism from some users. 

It is worth noting that it does appear that the exchange does have semi-frequent outages that take the exchange offline for some minutes every few months. This is by no means a red flag but worth noting since most exchanges don't seem to report as many outages. All things considered, the exchange has been able to address these issues and maintain its reputation as a reliable and trustworthy platform.

Gemini is a regulated cryptocurrency exchange that is required to maintain a certain level of reserves in order to ensure that it has sufficient funds to meet its obligations to its customers. The exchange maintains a "proof of reserves" system that allows it to demonstrate that it holds the appropriate amount of cryptocurrency in reserve.

The proof of reserves system works by randomly selecting a small number of addresses from the exchange's wallet and publishing them on the Gemini website. Users can then verify that the addresses contain the appropriate amount of cryptocurrency by checking the balances on the relevant blockchain. 

Following this, all of the exchange’s funds are held 1:1 and available for withdrawal at any time.

screenshot from gemini.com https://www.gemini.com/trust-center

Additionally, besides being a full-reserve platform, as mentioned above, it is a qualified custodian under New York Banking Law and is licensed by the New York State Department of Financial Services.

By publishing this information, Gemini is able to demonstrate that it holds the necessary reserves to meet its obligations to its customers. This helps to build trust in the exchange and gives users confidence that their assets are being properly safeguarded.

There are several advantages to using the Gemini cryptocurrency platform. One of the largest advantages is that Gemini holds it's security standards to the high standard and they are regulated by the New York State Department of Financial Services (a backing that no other cryptocurrency exchanges have to rant about). This helps to give users confidence in the safety of their assets and the overall integrity of the platform.

Another plus side is the platform offers major coins, like Bitcoin and Ethereum, as well as a number of smaller altcoins. This gives users a steady and reliable option of cryptocurrencies when it comes to buying and selling digital assets, although not as much variety as some other competitors.

Overall, Gemini is a reliable and well-regarded platform that is well-suited for both retail and institutional investors. It is a regulated exchange that mostly focuses on providing a simple, secure and user-friendly platform for buying and selling digital assets, like Bitcoin and Ethereum.

However, it does not offer leverage trading or other advanced trading features, like the top exchange giants Coinbase and Binance. If users are interested in leverage trading or other advanced features, they may want to consider switching.