BitGo Stock Jumps 13% After $50M Buyback Announcement

BitGo Holdings shares rose 13% Wednesday after the company announced a $50 million share buyback program. The program has no expiration date and takes effect immediately, the company said in a statement.

The buyback signals management's view that the stock is undervalued relative to the company's cash position and earnings power. BitGo, which provides digital asset custody and settlement services, has been expanding its institutional product line over the past year.

The move comes as crypto infrastructure firms face pressure to demonstrate profitability after a prolonged bear market. BitGo's board said the buyback reflects confidence in the company's financial strength.

BitGo did not specify whether the buyback would be executed through open-market purchases or a tender offer. The company said it may suspend or discontinue the program at any time without notice.

The stock closed at $24.15, its highest level in three months. Trading volume was roughly triple the 30-day average, according to exchange data.