Crypto Custody Firm Bitgo said the digital asset market had exceeded a record $4 trillion in total value last week, and it was filed secretly for an initial public offering in the US.
The filing was filed days after the market capitalization milestone, and has placed the Palo Alto, California-based company to join the growing list of digital asset companies heading into the open market. Demand is clear. Investors have been building crypto stocks over the past few months and are trying to capitalize on new momentum in the sector.
Founded in 2013, BITGO protects digital assets for clients of institutions, including exchanges, banks, and investment companies. It is widely regarded as one of the largest crypto managers in the United States, but it is not as invisible to everyday investors as it is to trading platforms.
This year’s Crypto Asset Price Rally and progress towards Washington’s regulatory framework have driven a wave of IPO activity. Both Stablecoin Issuer Circle (CRCL) and trading platform Etoro (ETOR) have recently been made public, with stock prices rising significantly. Circle’s stock has skyrocketed over 630% since its listing, since being promoted by the institutional adoption of USDC Stablecoin.
Other companies are rushing to chase. Last week, Crypto Asset Manager Grayscale said it had applied for an IPO. The Crypto Exchange Gemini made the same move. Coindesk’s sister company, Bullish Exchange, announced plans to open in the US on Friday. Businesses are betting that Wall Street’s appetite for digital assets will continue even after initial excitement fades.
The potential list of BITGO will give investors another pure play cryptography stock when industry exposure becomes a popular allocation. At this time, no timelines or ratings have been announced.
The company raised $100 million in August 2023 at a valuation of $100 million.