StableX's $100M Stablecoin Gamble: Big Bet Amid Deepening Red Ink

NEW YORK - StableX Technologies, Inc. (NASDAQ:SBLX) has partnered with BitGo, a leading digital asset infrastructure provider, to secure and scale its $100 million investment in stablecoin-related tokens. The collaboration, announced in late September 2025, marks StableX's strategic pivot into the stablecoin ecosystem, leveraging BitGo's institutional-grade custody and trading solutions to manage its digital asset treasury, according to an Investing report.

Under the agreement, BitGo Trust Company will act as the custodian for StableX's digital assets, offering regulated cold storage and compliance oversight, according to a FinancialContent release. BitGo's affiliated trading platforms will also facilitate StableX's acquisitions of crypto tokens, providing access to deep liquidity via its over-the-counter (OTC) desk, according to a Morningstar release. This partnership follows StableX's rebranding from AYRO, Inc. in August 2025, as the company shifted its focus to stablecoin infrastructure and token investments, as reported in a Yahoo Finance post.

StableX's $100 million target for stablecoin token purchases has drawn attention amid the company's challenging financial backdrop. The firm reported a 98% year-over-year revenue decline and an EBITDA of -$11.8 million as of its most recent filings, as reported by Investing. Despite these headwinds, executives argue the strategy positions StableX to capitalize on the growing demand for stablecoins, which are increasingly used for cross-border transactions, liquidity provision, and decentralized finance (DeFi) applications, according to a Global Market Bulletin piece.

The partnership with BitGo is seen as a critical step in mitigating risks associated with digital asset management. "Partnering with BitGo ensures our digital asset operations are anchored in the highest standards of institutional security and compliance," said James Altucher, StableX's Digital Treasury Asset Manager, according to a MarketChameleon article. Mike Belshe, CEO and co-founder of BitGo, added the firm is "excited to provide infrastructure that keeps forward-looking strategies safe and compliant."

StableX's first token purchase under its new strategy targeted FLUID, a decentralized exchange token dominating 31% of stablecoin swap volume, according to Investing's FLUID report. FLUID's platform, backed by investors like Coinbase Ventures and Pantera Capital, generates $5.37 million in monthly fees and plans to allocate all revenue to token buybacks starting October 1, 2025, according to a GuruFocus piece. This move aligns with StableX's broader goal to invest in tokens with strong fundamentals and growth potential, even as the company faces regulatory and market uncertainties noted by Global Market Bulletin.

The FLUID investment highlights StableX's focus on leveraging institutional-grade infrastructure to manage volatile assets. "By using a regulated, institutional-grade custodian, we're improving risk management and positioning ourselves to responsibly leverage new opportunities in the crypto economy," said Joshua Silverman, StableX's executive chairman, in Investing.

While the partnership with BitGo adds credibility, analysts remain cautious. StableX's financial health score of 1.23 (on a scale of 1 to 10) and its history of losses raise concerns, according to the earlier Investing report. The company's stock, which has plummeted 57% over the past year, surged 20.47% following the FLUID purchase announcement, reflecting mixed investor sentiment, the MarketChameleon piece noted.

Critics also note the broader risks facing stablecoins, including regulatory scrutiny and market volatility. The recent $1.1 billion acquisition of Bridge Network by Stripe, a move to expand stablecoin infrastructure, underscores both the sector's potential and its challenges, according to a CNBC report.

StableX's rebranding and strategic investments aim to position it as a pure-play on stablecoin growth. The company's ticker symbol, SBLX, now represents its focus on acquiring and developing stablecoin assets, infrastructure, and related technologies, according to the CNBC report. While the path ahead is fraught with risks, the partnership with BitGo and early bets on tokens like FLUID signal a bold attempt to capture a slice of the expanding digital asset market, Global Market Bulletin observed.

For now, the success of this initiative will hinge on StableX's ability to navigate regulatory hurdles, maintain liquidity, and deliver returns in a sector still grappling with maturation.

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