BitGo

Founded in 2013 BitGo by May 2021 serves more than 150 cryptocurrency exchanges, has about 400 institutional clients, and also holds assets worth $40 billion. The company processes more than 30 billion transactions per month and supports the storage of more than 400 tokens. Among other things, BitGo offers institutional investors security, compliance and storage solutions. cryptocurrencies

History

2021: Galaxy Digital bought BitGo for $1.2 billion

On May 5, 2021, the first merger in the cryptocurrency market was announced by this time, when one company buys another for more than $1 billion Financial thatstartup Galaxy Digital-, one of whose main specializations are, cryptocurrencies acquires an American developer of a wallet for storing cryptocurrencies BitGo for $1.2 billion.

Under the terms of the agreement, BitGo shareholders will receive 33.8 million ordinary shares of Galaxy Digital, as well as cash in the amount of $265 million. It is planned to close the deal before the end of 2021.

Galaxy Digital acquired BitGo for $1.2 billion

Galaxy Digital will issue additional shares to BitGo shareholders in exchange for net digital assets. Shareholders of BitGo will own 10% of the formal new company, and Galaxy Digital will retain most of the employees and management team of BitGo.

The acquisition of BitGo turns Galaxy Digital into a financial company that provides a full range of services for institutions, and significantly accelerates our mission to institutionalize the ecosystems of digital assets and blockchain, "said Galaxy Digital CEO Mike Novogratz.

According to the publication SiliconANGLE, $1.2 billion is a good amount for BitGo, given that three years earlier the company was estimated at only $170 million according to the results of the investment round. There were rumors that the payment system BitGo became interested in buying PayPal, but the transaction did not take place.^[1]

Notes