Crypto Custody Solutions Provider BitGo Rolls Out Crypto Trading Desk
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Crypto custody solutions provider BitGo has announced the expansion of its services as it rolls out an over-the-counter (OTC) trading desk. The company wants to specifically target institutions that trade crypto assets.
BitGo has also stated that it has been in the OTC desk operating business since 2024, but it was only in stealth. Now, the company wants to go out in full force to include the business in its line of service offerings. BitGo said it had built a $150 million lending book and already processed “billions in trading volume”.
BitGo Now Has More Than 250 Digital Asset Offerings
The new service provides comprehensive features and has already added over 250 digital assets to its offerings. The service also includes the provision of both derivative and spot instruments, as well as yield-generating products and lending services.
The launch is coming when demand for crypto assets from major players is rising speedily. In a recent survey by Finery Markets, the crypto OTC volume has increased by 106%. The rise is due to increased demand for spot crypto exchange-traded products as well as the recent surge during the US presidential election.
Matt Ballensweig, Managing Director and Head of Trading at BitGo, commented on the development. He stated that the company has witnessed several market cycles and understands what works and what doesn’t.
With this information, the firm has been steadily building a robust institutional crypto trading desk. Following the launch and integration of the new features, Ballensweig says BitGo now offers what other brokerage firms can’t offer.
He added that the company’s integrated OTC offerings provide clients the ability to execute a complete OTC desk across lending, derivatives, and spot while protecting their assets in qualified custody until its settlement period.
BitGo Considers Launching Its IPO This Year
BitGo has plans to launch an Initial Public Offering (IPO) in Q2 2025. While the firm is still talking with potential advisors, the decision to go public has not been made yet. BitGo has not made any comments regarding the IPO yet.
BitGo had tried to sell the company to crypto firm Galaxy Digital, owned by billionaire Michael Novogratz, for $1.2 billion. However, the deal fell through after Galaxy terminated the acquisition. In the fourth quarter of 2023, BitGo raised $100 million, taking the firm’s valuation to $1.75 billion. The funding round was backed by top firms like Valor Equity Partners, Redpoint Ventures, DRW Holdings, and Goldman Sachs.
