BitGo IPO: one of the largest cryptocurrency wallet providers went public

Preliminary trading in shares of BitGo Holdings, a provider of custodial solutions for cryptoassets, has begun on the Freedom client trading system. Its entry to the exchange will be a new test of how highly investors in the U.S. assess confidence in the cryptocurrency infrastructure after a period of increased volatility, emphasizes Finance Magnates. Later on January 22, the company's securities will appear on the New York Stock Exchange under the ticker BTGO.

BitGo Holdings successfully raised $212.8 million in an IPO on the New York Stock Exchange. The company placed 11.8 million shares at $18 per paper - with a stated price range of $15-17. Based on the results of the IPO, the value of the entire issuer can be estimated at $2.08 billion, writes Reuters.

Goldman Sachs, Citigroup and Deutsche Bank Securities were the lead organizers of the deal.

BitGo was founded in 2013 and is now one of the largest crypto asset storage companies in the United States, Reuters notes. It makes money from trading digital assets, staking (i.e. rewards for validating transactions in the blockchain) and various service fees. BitGo supports more than 1,550 digital assets, 4,900 customers and 1.1 million users, according to a prospectus filed with the regulator.

The company is profitable, with net income of $156.6 million in 2024 and $35.3 million in the first nine months.

BitGo is looking to diversify its business: in December it announced that it had received conditional approval from the U.S. Office of the Comptroller of the Currency (OCC) to convert its BitGo Trust Company unit into a nationally licensed bank, and in early January it announced the expansion of its institutional derivatives trading program, which should broaden its revenue sources. "As institutional investor participation in digital markets matures, clients are increasingly looking for opportunities to execute more sophisticated strategies," BitGo co-founder and CEO Mike Belshe said.

According to Freedom Finance analyst Alem Bektemirov, the target price for BitGo shares is $22.7, which implies a potential upside of about 26% relative to the offering level. At the same time, Bektemirov warns that the company may face a number of significant risks. First, these are the risks associated with the underlying blockchain infrastructure. Software updates, protocol changes and cybersecurity incidents could lead to incompatible solutions, technical failures or vulnerabilities. If the company fails to identify and address such issues in a timely manner, it may jeopardize the security and integrity of the custodial platform, as well as negatively affect its operating performance, financial position and long-term development strategy. Secondly, BitGo competes with a growing number of decentralized and non-custodial platforms, the interest in which is noticeably increasing as the crypto-industry develops, and may affect the company's market position.

BitGo's ability to make money is a positive signal, said Barron's Joseph Schuster, founder of IPOX Schuster, the research firm that created the IPO index used to form the First Trust US Equity Opportunities ETF. He acknowledged, however, that significant price drops following a number of companies' offerings in the second half of 2025 indicate a lack of "indiscriminate demand."

BitGo's IPO follows the successful debuts of stealthcoin market leader Circle Internet Group, crypto asset manager Galaxy Digital and crypto exchange Bullish in 2025. That said, several high-profile listings have disappointed investors, including exchange Gemini and robo-advisory platform Wealthfront, Barron's recalls.

Sharp price volatility in bitcoin, ethereum, solana, XRP and other cryptocurrencies could put pressure on BitGo's financial results in the future, making it difficult for analysts and investors to build reliable revenue and earnings forecasts, let alone fair stock valuation multiples, the publication admits. In its latest filing to regulators, the company specified that "a hypothetical 50% increase or decrease in the fair value of bitcoin would have impacted net income for the nine months ended September 30, 2025 by approximately $135

BitGo's decision to push ahead with an IPO despite the volatility suggests that the company sees promise in infrastructure solutions that are based on fee income from holding assets rather than trading volumes, Finance Magnates points out.

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Freedom clients will be able to get access to BitGo Holdings shares before the opening of the main exchange session. Trading will begin in the early pre-market format 2-3 hours before the opening of the US exchanges (from 15:30-16:30 Astana time). To participate, click on ticker BTGO.

This article was AI-translated and verified by a human editor