BitGo's Revenue Surge Masks Profitability Struggles

BitGo, a leading digital asset custodian, has filed for an initial public offering (IPO) with the U.S. Securities and Exchange Commission (SEC), signaling a pivotal step toward becoming a publicly traded company. The firm plans to list its Class A common stock on the New York Stock Exchange under the ticker symbol "BTGO" . The filing reveals that BitGo generated $4.19 billion in revenue during the first half of 2025, nearly quadrupling the $1.12 billion reported in the same period in 2024 . This surge underscores the growing institutional adoption of cryptocurrency custody services, with BitGo managing over $90 billion in digital assets across 1.14 million users .

The IPO filing highlights a dual-class share structure, granting Class B shareholders—primarily founder and CEO Mike Belshe—15 votes per share, compared to one vote for Class A shareholders. This structure ensures Belshe retains control post-IPO, with the company qualifying as a "controlled company" under NYSE rules . BitGo intends to use proceeds from the offering to fund technology development, acquisitions, and stock-based compensation while enhancing market visibility and financial flexibility . Goldman Sachs and Citigroup have been named as lead underwriters for the IPO .

Despite the revenue growth, profitability has contracted. Net income for the first half of 2025 fell to $12.6 million, down from $30.9 million in the same period a year earlier, attributed to rising operating costs . The firm’s financial performance reflects the challenges of scaling infrastructure for institutional clients while maintaining margins. BitGo’s business remains heavily concentrated in major cryptocurrencies, with Bitcoin, Sui, Solana, XRP, and Ethereum accounting for 48.5%, 20.1%, 5.7%, 3.9%, and 3.0% of assets on its platform, respectively, as of June 30, 2025 .

The IPO filing aligns with a broader trend of crypto firms seeking public listings to capitalize on institutional interest. BitGo’s move follows recent successful debuts by companies like Circle and Gemini, which have demonstrated investor appetite for the sector . The firm’s public offering adds momentum to a revitalized U.S. IPO market, with October 2025 already seeing $7 billion raised across 14 offerings—the busiest month since 2020 . Analysts note that the filing underscores crypto’s transition from speculative niche to a mainstream asset class, supported by regulatory clarity and ETF inflows .

BitGo’s platform now safeguards $90.3 billion in digital assets, serving over 4,600 institutional clients, including asset managers and crypto funds . The company’s assets under custody have grown from $30.8 billion in 2024 to over $100 billion in 2025, reflecting the sector’s $4 trillion rally. However, critics highlight the firm’s reliance on a narrow set of tokens and the risks associated with market volatility. Bobby Ong of CoinGecko remarked, “Only $12 million in profit on the back of $4 billion in revenue—such low profit numbers. Revenue increased by $3 billion, but profits dropped by more than half. Not sure why” .

The IPO filing comes as the U.S. Federal Reserve’s rate cuts have spurred liquidity, encouraging companies to go public. BitGo’s public listing is expected to further legitimize the crypto custody industry, with investors and regulators increasingly viewing digital assets as a distinct asset class . The firm’s dual-class structure and profitability challenges will likely draw scrutiny, but its role in securing institutional crypto holdings positions it as a key player in the sector’s evolution.