California-based crypto custodian BitGo has announced it has secured $100 million in a Series C funding round, bringing its valuation to $1.75 billion. The newly injected funds will be deployed to make strategic acquisitions and expand its regulated custody, wallet, and infrastructure solutions worldwide.
New and external strategic investors participated in the funding round.
- In a statement, BitGo CEO Mike Belshe highlighted the growing demand for regulated custody solutions in the US as well as around the world.
“Not only are we seeing growing demand for regulated custody solutions in the US, but we are also seeing demand on a global scale. We are very pleased to announce our $100M Series C to address that the growing demand and provide institutions, brands, coin foundations, and others with safe and orderly participation in the digital asset ecosystem.
- According to the platform’s analysis, BitGo has witnessed a 60% increase in new onboarded clients since the beginning of the year, a 20% jump in AUC, a 200% increase in fiat custody, and 40x growth of staked assets.
- Mike Novogratz’s cryptocurrency investment firm Galaxy Digital previously announced plans to buy BitGo for $1.2 billion.
- The agreement, however, was cancelled, with Galaxy blaming the crypto custody company’s inability to provide audited financial statements for 2021 as stipulated in the agreement.
- This prompted the digital asset custodian to file a lawsuit against Galaxy seeking damages in excess of $100 million, alleging “improper dismissal and willful breach of the merger agreement.”
- Meanwhile, BitGo said it would not acquire Prime Trust, which later filed for Chapter 11 bankruptcy protection in Delaware.
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