There is a certain rise in interest for crypto business among private venture investors as another company associated with cryptocurrencies has received funding. This time it is Bitgo who has received the backing of venture capital giant Goldman Sachs and blockchain investor Galaxy Digital Ventures.
Bitgo envisions to develop USD 1 trillion crypto wallet
Bitgo, the market leader in institutional-grade cryptocurrency security, announced the second close of its Series B funding round as it received funding from new investors, Goldman Sachs’ Principal Strategic Investments group and Galaxy Digital Ventures LLC, a venture investment firm founded by Michael Novogratz. The company already has investors like Valor Equity Partners, Craft Ventures, DRW, and Redpoint Ventures on board. According to the sources, the total amount raised in this round is $58.5 million and the funds will be used to support BitGo’s development of its $1 trillion crypto wallet.
According to Mike Belshe, CEO, BitGo.
“This strategic investment from Goldman Sachs and Galaxy Digital Ventures validates both our market opportunity and unique position,” “No one is better positioned than BitGo to serve institutional investors who want to trade cryptocurrencies and digital assets. That’s why we’re focused on figuring out what it takes to secure a trillion dollars. The market’s not there yet but our job is to be ready first.”
Rana Yared, a Managing Director of Goldman Sachs’ Principal Strategic Investments group was also quoted saying
“Greater institutional participation in the digital asset markets requires secure and regulated custody solutions,” “We are impressed by BitGo’s product, unique services, and the management team. We view our investment in BitGo as an exciting opportunity to contribute to the evolution of this critical market infrastructure.”
Adding to statements from Bitgo and Goldman, Michael Novogratz, Founder of Galaxy Digital Ventures LLC said
“Institutional investors are gradually realizing that digital assets are going to be a game changer, and they want to participate,” “We have been impressed with BitGo’s world-class team, their deep technical understanding of digital assets as well as their ability to deliver institutional-quality products to investors. Our team is excited to support BitGo as it enters into this next phase of growth.”
BitGo is the market leader in institutional-grade investment services, providing institutional investors with security, compliance, and custodial solutions for blockchain-based currencies. BitGo is the world’s largest processor of on-chain bitcoin transactions, processing 15% of all global bitcoin transactions, and $15 billion per month across all cryptocurrencies. The company has a customer base that includes the world’s largest cryptocurrency exchanges and spans more than 50 countries. BitGo is headquartered in Palo Alto, California, and has offices in Sioux Falls, London, Singapore, and Tokyo.
With Bitgo receiving another round of funding definitely makes one believe that there is a definite rise in interest for crypto businesses despite falling prices. A clear sign that industry is developing.
Will we see more venture investments in crypto business in months to come? Do let us know your views on the same.
Nilesh Maurya has been associated for past 8 years as an Investment Banker with Omega Capital, a bespoke Investment Banking outfit having offices in Mumbai, New York, Singapore, and Dubai. He has been a regular contributor to business publications such as Business India and Market Express and has been a mentor to many start-up companies. Nilesh Maurya has been associated for past 8 years as an Investment Banker with Omega Capital, a bespoke Investment Banking outfit having offices in Mumbai, New York, Singapore, and Dubai. He has been a regular contributor to business publications such as Business India and Market Express and has been a mentor to many start-up companies. Follow him on Twitter at @KoinKing1 or connect with me on linkedin.