The Currency analytics
By Evie Vavasseur
BitGo's stock keeps falling. The digital asset custody firm dropped nearly 40% since its IPO last year, and now Wall Street thinks someone's going to buy them out before things…
JP Morgan analysts flagged BitGo as a prime takeover target on February 17, pointing to the company's solid infrastructure and how it could fit into traditional banking.
BitGo pulled in $200 million revenue last year, up 15% from 2024. But they also lost $45 million, which has analysts wondering if they can make it alone in this market.
Goldman Sachs jumped in on February 16 with their own take. They think BitGo's multi-signature tech could be exactly what banks need to beef up their digital security.
The company just extended its deal with Coinbase on February 10. They're working together on better custody services for institutional clients, which could make BitGo look even…
Stock closed at $17.50 on February 18. That's a slight bounce from recent lows, but still way down from where it started.
Banks want in on crypto, that's clear. Buying BitGo would give them instant access to the infrastructure and client base they need. The regulatory stuff's messy though.
BitGo's trying to expand into Europe and Asia, which might make them worth more to potential buyers. International reach matters when you're talking about digital assets.
No formal offers are public yet. BitGo isn't talking about who might be interested or what kind of price they'd consider.
Trading activity stays high as investors bet on a takeover. Some think it's inevitable given BitGo's financial situation and the interest from traditional banks.
Anchorage's funding round shows there's still investor appetite for custody services. But it also means BitGo faces stronger competition just when they need to prove their value.
February's been busy for BitGo watchers. Between analyst reports and partnership announcements, something's clearly building toward a decision point.
The custody sector's consolidation wave makes BitGo's situation even more precarious. Fireblocks raised $550 million in Series E funding last September, while Hex Trust got…
Traditional banks have been quietly building their crypto capabilities for months. Bank of America filed three blockchain-related patents in January, while Wells Fargo expanded…