• BitGo CEO Mike Belshe said the firm has other acquisitions pending despite abandoning its proposed purchase of Prime Trust.
• BitGo is more focused on growing its business instead of being acquired by a major player.
• Coinbase and BlackRock have been identified as potential acquirers for BitGo.

BitGo Still Sees Consolidation in Crypto Custody

BitGo CEO Mike Belshe said the firm has other acquisitions pending, despite the company’s decision to abandon its proposed purchase of Prime Trust. Belshe believes there will be consolidation in the industry within the next six months. Additionally, he clarified that while BitGo has received offers from various parties since their failed deal with Galaxy Digital, they are now more focused on growing their business rather than being acquired by any major players.

Potential Acquirers

Coinbase and BlackRock have been identified as potential acquirers for BitGo due to their strong balance sheets. Both companies are looking into crypto-related investments, with Coinbase recently selected by iShares’ fund-management unit to provide custodian services for a bitcoin exchange-traded fund (ETF). However, Coinbase may need to separate its custody service from its trading business if they proceed with acquiring BitGo.

Galaxy Digital Acquisition Terminated

The proposed acquisition between BitGo and Galaxy Digital was terminated in August 2020 due to undisclosed reasons, leaving both parties searching for new opportunities. Since then, several offers have come in from time to time but none which were considered successful until now with this latest acquisition attempt with Prime Trust.

Nevada Financial Institutions Division Investigation

Nevada’s Financial Institutions Division (FID) investigated Prime Trust after it was revealed it had “a shortfall in customer funds” and was unable to meet all withdrawal requests this month which eventually led to the termination of the acquisition between them and BitGo.

Mike Belshe Talks To Potential Suitors

Despite numerous attempts made by various companies since August 2020, Mike Belshe has yet to accept an offer made by any major player such as Coinbase or BlackRock yet but he still keeps his phone number open just incase Larry Fink decides to call him up about a possible collaboration opportunity between them both companies.