The “picks and shovels” of the institutional crypto market are heading to Wall Street.
BitGo, the Palo Alto-based digital asset custodian founded in 2013, has set terms for its IPO, targeting a valuation of up to $1.96 billion.
💰 THE DEAL METRICS:
- Ticker: $BTGO (NYSE).
- Price Range: $15 – $17 per share.
- Raise: Up to $201 million (offering 11.8M shares).
- Underwriters: Goldman Sachs and Citigroup.
🏦 THE THESIS: Unlike exchanges that rely on trading volatility, BitGo’s core value proposition is Security & Custody.
- The Role: Storing and protecting digital assets for institutional clients (banks, funds, exchanges).
- The Moat: As regulatory scrutiny tightens and traditional finance (TradFi) enters the space, “Qualified Custody” becomes the most critical barrier to entry.
🌊 THE 2026 PIPELINE: BitGo is testing the waters for a massive wave of Fintech/Crypto listings expected this year:
- Recent Debuts: Follows the listings of stablecoin issuer Circle and exchange Bullish.
- On Deck: All eyes are on Kraken (filed confidentially), Revolut, and Japan’s PayPay to see if the market window stays open despite the “steep crypto selloff” seen in October.
💡 ANALYST TAKEAWAY: A ~$2 billion valuation for a pure-play custodian suggests investors are looking for “boring” crypto exposure. If $BTGO prices at the top of the range, it confirms that the market values infrastructure resilience over the hyper-growth (but hyper-risk) of consumer trading apps.
👇 Fintech Investors: Do you prefer “Infrastructure” plays like BitGo or “Exchange” plays like Kraken for exposure to the next cycle?