BitGo Brings Custody Business Transparency to the Capital Market Through IPO in January 2026

When BitGo set its initial public offering price at $18 per share last week, this momentum marked a significant milestone for businesses focused on digital asset custody services. With a valuation of around $2 billion on a fully diluted basis, the company is poised to change market perceptions of how crypto businesses can create sustainable value through transparency and solid operational growth.

BitGo will begin trading on the New York Stock Exchange under the ticker symbol BTGO, positioning itself as the first industry player prioritizing custody over trading volume. This pricing comes at a complex moment for the crypto sector, where many other digital asset companies face significant valuation challenges.

Why Custody Businesses Are More Resilient Amid Market Volatility

Market performance of publicly listed crypto companies shows concerning patterns. Bullish, which owns CoinDesk, recorded a stock price decline of over 40% in the past six months. Owlting, a provider of stablecoin infrastructure and payment services, suffered losses of up to 90%. Meanwhile, Gemini Space Station, a custody and trading platform affiliated with the Winklevoss twins, corrected about 70%.

The broader context shows the CoinDesk 20 index falling approximately 33% over the same period. This decline reflects how public market investors systematically devalue this sector, driven by crypto asset price pressures and risk appetite tightening.

However, BitGo stands out because of its different business model. The company does not rely on cyclical trading volume but on staking and custody services that generate more predictable revenue streams. Matthew Sigel, head of digital assets research at VanEck, analyzes that BitGo’s focus on these two lines of business creates a more robust revenue base compared to transaction-based competitors.

Core Revenue Growth Projections Support Valuation

According to Sigel, custody and staking services account for over 80% of BitGo’s total revenue, generating real economic income estimated between $160 million and $170 million annually. This structure sharply contrasts with traditional trading businesses, which often experience fluctuations depending on market activity.

Projections for 2028 show significant potential. BitGo is estimated to generate revenues exceeding $400 million with an EBITDA surpassing $120 million. These projections form the basis for analysts to maintain that BitGo’s IPO valuation could continue to appreciate, especially if the business reaches its growth targets.

This condition differentiates BitGo from players like Coinbase or Galaxy Digital, whose valuations are often tied to trading volume dynamics. Conversely, BitGo offers a more predictable investment exploration, focusing on organic growth from its more stable core business.

Staking and Custody as Business Model Foundations

When analyzing BitGo’s financial statements, a number of trading activities must be reported gross according to accounting standards, which sometimes makes top-line revenue figures appear to increase even though the actual economic value is more limited. When analysts exclude trading costs from calculations, BitGo’s core business becomes much more transparent and focused.

Custody and staking generate the majority of the company’s actual economic income. Meanwhile, trading services contribute only a few million dollars in net revenue, and the stablecoin division is still in early development stages. This positioning allows public investors to evaluate whether the custody and staking franchise can continue to grow, with new business viewed as long-term growth opportunities.

Challenges and Opportunities in Crypto Sector IPO Valuations

BitGo’s $18 per share price reflects the market’s effort to find a balance point between expectations and realistic valuation. Compared to other listed crypto companies, this price indicates a different, less volatile positioning from the often volatile crypto valuations.

The crypto sector listed on public markets still faces significant performance challenges. However, the BitGo case demonstrates that businesses with more stable and predictable revenue models can attract institutional investors with different risk profiles.

Public investment in crypto assets continues to grow through various instruments. For example, XRP has attracted net inflows of $91.72 million in spot ETFs listed in the US this month, showing that investor interest in the digital asset sector remains relevant despite price volatility.

As the first crypto sector company to run an IPO in 2026, BitGo has the opportunity to demonstrate that digital asset businesses focused on solid fundamental operations can deliver sustainable value to public shareholders.