BitGo Launches Global OTC Trading Desk, CEO Says Crypto Firms Should Go Public
Crypto custody firm BitGo has announced the launch of its comprehensive OTC trading desk that operates nonstop to serve clients across all major time zones.
The platform has operated in stealth mode since early 2024. In that time, it processed billions in trading volume and built a lending book of over $150 million.
According to the press release, “the explosive demand uptick since launch proves decisive institutional demand for bespoke trading solutions integrated with qualified custody.”
ng=”en” dir=”ltr”>A milestone worth celebrating: BitGo now secures over $100 billion in assets under custody, earning the top spot as the world’s leading independent custodian.
Custody, Trading, Staking, and Financing solutions designed for institutions and retail clients.
Discover how BitGo… pic.twitter.com/2WxehIgmKT
— BitGo (@BitGo) January 22, 2025
The desk offers lending services, yield-generating products, and spot and derivatives trading across 250 assets. All are integrated with the company’s regulated qualified custody, also meaning that everything is available in one place.
This is in addition to the existing electronic trade offering through BitGo Prime.
Furthermore, BitGo incorporated trade settlement through Go Network, the settlement infrastructure it launched in 2023. This enables clients to receive crypto or cash instantly – there is no need to send funds to another market maker on-chain.
At the same time, the OTC desk has access to “dozens of liquidity sources including both exchanges and LPs,” the team said. This way, they’re able to provide competitive pricing and dynamic order types.
As for VC and hedge fund clients, they can buy and sell locked/unvested L1 tokens.
Meanwhile, Matt Ballensweig, formerly of Genesis and Bridgewater, and Stefan Von Haenisch, formerly of OSL Group, are at the helm.
Ballensweig, Managing Director and Head of Trading, commented that “having seen many market cycles and understanding what works and what doesn’t, we’ve been quietly building a proper institutional crypto trading desk and now we’re confident we offer what other brokers can’t.”
The team leverages BitGo’s Go Network to settle assets at the same time, “minimizing the highly-prevalent prefunding risk that underlies our market structure,” he added.
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The Need to Go Public
To create trust in digital assets and tackle TradFi players, crypto companies need to go public, argued BitGo CEO Mike Belshe, according to a Cointelegraph report. “It is a key part of delivering trust, so it’s in the destiny.”
Belshe spoke at Consensus Hong Kong 2025 on 19 February, saying that “one of the things I think, in order to address Wall Street, you’ll [need to] be a public company.”
Wall Street companies interfacing with private crypto companies does not work, he said, giving FTX as an example. The former also requires the US Securities and Exchange Commission (SEC) regulatory oversight, as “diligence really matters.”
It was recently reported that BitGo was preparing for an initial public offering (IPO) as early as the second half of this year.
The recent change in the US administration may open doors for many more companies to choose this route.
Belshe recently commented that, as the regulations in the US shifted from “actively trying to kill” the industry, the market will see gains in 2025.
The crypto market will feel the effects of the new US presidency – specifically the friendlier regulatory stance – throughout 2025. Not everything regarding this news event has been priced in yet, he explained.
Additionally, more companies will “absolutely” add BTC to their portfolio this year, especially as regulatory changes and the availability of ETFs make this “a lot easier” to do.
This choice also makes sense, especially as a hedge against inflation in the US, the CEO said.
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Source: cryptonews.com
