BitGo shifts beyond crypto custody with prime brokerage push

BitGo wants prime brokerage to become the main engine of its business as the crypto custodian expands beyond storing digital assets into trading, financing and settlement services, CEO Mike Belshe told Bloomberg.

“We would like it to be 100% of our revenue,” Belshe said in an interview in Singapore. “Nobody wants to pay for custody. We don’t want to charge you for custody.”

The strategy reflects growing competition in crypto custody as traditional financial institutions move deeper into the sector. BNY Mellon, DBS Bank and U.S. Bank already offer crypto custody services, while Deutsche Bank announced plans last month to launch its own institutional offering.

BitGo, which Belshe said has more than 6,000 clients, wants custody to instead serve as the foundation for a broader suite of financial products.

The company launched BitGo Prime in 2020 and expanded its financing services this year, including a single access point connecting clients with liquidity across exchanges and market makers.

Under the prime brokerage model, institutional clients can keep assets with BitGo while also trading them, borrowing against their holdings and settling transactions through the same platform.

“You’re bringing the assets in. You’re lending against those assets. You’re trading those assets. It’s a virtuous cycle,” Belshe said.

BitGo is now trying to move existing clients away from paying standalone custody fees and toward a model where the company generates revenue from a wider range of financial services.

Some clients, including exchange-traded funds that primarily need secure Bitcoin storage, may continue using custody as a standalone product. But Belshe said he wants those cases to become the exception.

“The destination is prime brokerage,” he said.

The shift comes as BitGo adjusts to life as a public company. The firm priced its January initial public offering at $18 per share before reporting losses for 2025 and the first two quarters of 2026.

BitGo shares fell to a record low of $4.65 in August and closed Monday at $7.38, according to Bloomberg.