BitGo to acquire Prime Trust Custody Firm.

BitGo Holdings, Inc. has announced its intention to acquire Prime Core Technologies, Inc., the parent company of Prime Trust. The acquisition aims to bring business continuity, long-term stability and regulated, secure services to Prime Trust clients, according to a blog posted by BitGo.

Prime Trust expressed excitement about the potential partnership, with Jor Law, Prime Trust’s Interim CEO and President, believing that the combination of Prime Trust and BitGo will be a game-changer for the industry. He stated, “No other company will have the breadth of product and services nor depth of experience that this combined company would have. We are excited to offer our world-class infrastructure within a broader ecosystem and revolutionize the future of crypto.”

The blog post listed the benefits that the acquisition could hold for both companies, including Prime Trust’s Nevada Trust Company joining BitGo’s global network of regulated trust companies, which already includes entities in South Dakota, New York, Germany and Switzerland. The acquisition would also enhance BitGo’s presence and regulatory reach. Furthermore, Prime Trust’s fintech API infrastructure and exchange network will reinforce BitGo’s existing services, including custody, liquidity, settlement and compliance capabilities.

Mike Belshe, CEO and Co-Founder of BitGo, views the acquisition as a milestone transaction that will contribute to a more secure and sustainable future for the digital asset landscape. Belshe stated, “With the expected acquisition of Prime Trust, BitGo is well positioned to enhance its best-in-class, trusted solutions and to service the combined customer base.”

The deal is still subject to regulatory approval, and further details regarding the transaction are yet to be disclosed. Recently, bitcoin-only exchanges Strike and Swan both announced that they would be moving away from custody through Prime Trust, with Strike utilizing its own custody services, while Swan is moving to Fortress Trust and BitGo. The acquisition announcement did not address or confirm rumors that Prime Trust is facing insolvency, which has been the center of speculation on Bitcoin Twitter.