BitGo Completes Acquisition of NYDIG Institutional Trading Business

BitGo said it has completed its acquisition of NYDIG's institutional trading business in a two-step merger valued at about $42.5 million, including $7 million in cash and about $35.5 million in BitGo stock. According to ChainCatcher, the deal brings roughly 30 NYDIG employees and institutional client relationships into BitGo. The acquired business will provide derivatives, structured products, financing, and capital markets solutions to asset managers, hedge funds, corporations, and family offices. The transaction also includes performance-based incentives, including a $10 million cash payment tied to one revenue milestone, up to $5 million in cash and additional shares tied to a second milestone, and retention awards for transferred employees. NYDIG said it will focus on power generation, Bitcoin mining, and high-performance computing data center businesses, and disclosed development reserves of more than 3 gigawatts. BitGo recently completed its IPO on the New York Stock Exchange at a post-offering valuation of about $2 billion and has also launched the USDS token.