What happened
BitGo has bought NYDIG's trading unit, CEO Mike Belshe told CryptoBriefing in an interview published Tuesday afternoon. Belshe, who co-founded BitGo in 2013, said the acquisition brings NYDIG's institutional trading desk, its client book, and its execution stack under BitGo's roof. Financial terms were not disclosed in the interview.
NYDIG, backed by Stone Ridge Holdings, had built out its trading business alongside its custody and lending arms, but the parent has been reshaping its crypto footprint over the past two years. The transaction closes with immediate effect, per Belshe's comments to the publication. It is the largest infrastructure deal Belshe has led since BitGo raised at a $1.
75 billion valuation in 2023.
Why it matters
Institutional crypto has spent the last three years trying to solve one structural problem: how to separate custody from execution without paying twice for the privilege. FTX made the risk of commingled prime brokers explicit. What large allocators asked for after November 2022 was a qualified custodian that could route to execution venues without the client's coins ever leaving segregated storage.
BitGo already runs that custody stack. Adding NYDIG's desk lets it quote prices, warehouse flow, and hand back settled trades without the client rehypothecating collateral. That is the pitch.
Whether it wins share from Coinbase Prime, Fidelity Digital Assets, and Anchorage is the actual test. The consolidation trend is real. Since the start of 2025, at least four institutional platforms have been folded into larger custodians or exchanges, and Belshe's move sits squarely in that arc.