BitGo is currently acting as a custodian for creditors of bankrupt digital asset exchange FTX while the legal battle continues. Other BitGo clients include financial services company Swan Bitcoin, blockchain developer Mysten Labs Inc. and clothing giant Nike Inc.
Chief Executive Officer Mike Belshe acknowledged that this is "definitely a difficult market." But he said the company's focus on licensing and regulation has helped it stand out amid an uncertain digital asset legal landscape marked by heightened tensions over whether cryptocurrencies are securities.
Belshe said the Palo Alto, California-based company received funding exclusively from new investors. He declined to reveal who participated in the round, but said that the sponsors are based in the US and Asia, and that some of them came from outside the crypto industry. Previous BitGo investors include Goldman Sachs Group Inc., DRW Holdings, and Galaxy Digital Ventures.
The startup's valuation is significantly higher than its price in 2021, when the company was to be acquired by Galaxy Digital Holdings in a $1.2 billion deal.
Belshe said the new funding will be used in part for strategic acquisitions, noting that at least two deals are already in the works.