BitGo's revenue hit $4.33B, up 79.6%, but an $18.8M unrealized loss on its own Bitcoin holdings pushed it to a $19M Q2 loss.
BitGo reported $4.33 billion in second-quarter revenue, up 79.6% from a year earlier, as institutional demand for custody and stablecoin services pushed client accounts and assets under custody higher. The newly public custodian, now trading on the NYSE under ticker BTGO, added 26% more clients to reach 5,833, while custodied assets rose 31% to $65.2 billion.
The revenue growth came largely from digital asset sales, which contributed roughly $4.2 billion, and from the company's stablecoin-as-a-service business. Yet the top-line surge did not translate into profit. BitGo posted a net loss of $19 million, or $0.16 a share, compared with net income of $38.3 million in the same quarter last year.
The reversal was tied to BitGo's own digital asset holdings. The company recorded an $18.8 million unrealized loss on those positions in the quarter, versus a $55.8 million unrealized gain a year earlier. Adjusted EBITDA turned negative at a loss of $4.2 million, compared with a $3 million profit in the second quarter of 2025.
CEO Mike Belshe said the firm "streamlined" its cost structure during the period. BitGo cut 15% of its workforce in June and expanded the use of AI in engineering and operations. The company expects those moves to save roughly $15 million in annual cash costs.
The custodian ended the quarter with $159 million in cash and 2,523 company-owned bitcoins worth about $147.7 million. It carries no corporate-level debt. The board recently authorized a $50 million share buyback.
BitGo's growth coincides with a broader shift in how institutions evaluate custody providers. A January survey by Coinbase and EY-Parthenon of 351 institutional decision-makers found that 66% cited regulatory compliance as a key factor in choosing a custodian, up from 25% a year earlier. The same share cited security and key-signing procedures, versus 8% in 2025.
That environment may favor firms with bank or trust charters. BitGo runs BitGo Bank & Trust, whose conversion to a national trust bank received conditional approval from the Office of the Comptroller of the Currency in December 2025. After the quarter closed, Belshe said the company provided custody infrastructure for the DTCC's demonstration of tokenized securities.
One leadership change is on the horizon. CFO Ed Reginelli, who said BitGo has "the financial flexibility to invest behind our highest-priority opportunities," is set to step down on September 15. The company has not named a successor.
For a broader perspective on how tokenized equities are reshaping institutional flows, read Tokenized QQQ drove 288% of July volume; Robinhood Chain bets on it.
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