The cryptocurrency custody company BitGo has defied the
odds to raise a substantial $100 million in funding at a valuation of USD $1.75
billion. The funding arrived at a time the cryptocurrency sector has been
marked by uncertainty, regulatory debates, and market volatility.
According to a report by
Bloomberg, the company’s CEO, Mike Belshe, acknowledged the challenging market
conditions but attributed BitGo’s success to its adherence to licensing and
regulations, which has reportedly enabled the company to defy uncertain legal
environment facing digital assets.
The Palo Alto-based
company’s funding was secured exclusively from new investors. Although Belshe
kept the details of the investors under wraps, he revealed that they hail from
both the US and Asia, with some being individuals from beyond the crypto realm.
BitGo’s latest funding
round not only strengthens its valuations but reportedly paves the way for
potential acquisitions. Belshe told Bloomberg that the company had already
initiated discussions for at least two potential deals. This comes after
BitGo’s decision to abandon its plans to acquire Prime Trust, a rival crypto
custodian, which filed for bankruptcy this week.
The currency valuation
of BitGo is much higher than the valuation of the firm of USD 1.2 billion in
2021 when Galaxy Digital unsuccessfully tried to acquire the company. The
unsuccessful acquisition
