Cryptocurrency exchange Gemini Space Station, founded by brothers Cameron and Tyler Winklevoss, has secured Nasdaq as a strategic investor as the company advances plans to go public in New York this week, according to two people familiar with the matter.

The sources indicated that Gemini's initial public offering (IPO) could raise up to $317 million, with Nasdaq confirmed to purchase $50 million worth of shares through a private placement during the IPO process. The individuals requested anonymity as the agreements have not been made public.

According to the sources, this investment forms part of a broader partnership between the two companies. Under the collaboration, Nasdaq clients will gain access to Gemini's custody and staking services, while Gemini's institutional clients will be able to access Nasdaq's Calypso platform for managing and tracking trading collateral.

Gemini did not immediately respond to requests for comment, while Nasdaq declined to comment.

Gemini is expected to begin trading on Nasdaq on Friday under the ticker symbol "GEMI."

The sources cautioned that the company's listing plans remain subject to market conditions and could still change.

Gemini's IPO comes amid a recovery in U.S. equity capital markets, with strong demand for new stock offerings. Impressive first-day performances by new listings are encouraging more private companies to test investor appetite.

Recent listings including design software developer Figma and space technology company Firefly Aerospace have received strong investor support on their debut trading days.

Digital asset companies have also performed well in the IPO market in recent months, with stablecoin issuer Circle and cryptocurrency exchange Bullish both receiving enthusiastic responses to their public debuts.

If successful, Gemini would become the third publicly traded cryptocurrency exchange after Bullish and Coinbase, with Coinbase being the first crypto exchange to be included in the S&P 500 index.

According to data provider Kaiko, Gemini ranks among the largest cryptocurrency trading platforms in the United States by trading volume. The platform currently manages $21 billion in assets and has recorded cumulative trading volume of $285 billion.

Gemini operates an over-the-counter trading desk, provides credit card payment services within the United States, and supports trading of various digital assets including Bitcoin, Ethereum, and stablecoins. The platform serves both retail and institutional investors, with revenue primarily derived from trading fees.

According to filings Gemini previously submitted to the Securities and Exchange Commission (SEC), the company recorded revenue of $68.6 million and a net loss of $282.5 million in the six months ended June 30, compared to revenue of $74.3 million and a net loss of $41.4 million in the same period last year.

The Winklevoss brothers gained prominence following their 2008 legal settlement with Facebook and its CEO Mark Zuckerberg. They subsequently invested part of their settlement proceeds in cryptocurrency, becoming among the world's first crypto billionaires and earning the nickname "Bitcoin twins."