- Summary:
- Galaxy Digital has called off its planned acquisition of BitGo. We tell you what informed the decision and its next moves in the market.
On Monday, Galaxy Digital, a firm that provides financial services for digital assets, stated that it would no longer be acquiring BitGo, a Bitcoin transaction processor. Galaxy claims it has decided to terminate the agreement because BitGo has failed to provide audited financial accounts for 2021 by July 31, 2022, as required by the terms of the agreement. However, Galaxy is continuing its efforts to become publicly traded in the United States.
The journey to the botched acquisition and Galaxy’s next move
When Galaxy Digital first announced its intention to go public in the United States in May 2021, it also stated that it would buy BitGo at that time. After several setbacks, the company had hoped to close the acquisition by the year 2022. Acquisitions are increasingly becoming common in 2022, despite the hard market conditions. However, with the books of many crypto companies in the red, many potential acquisitions could fail to take place.
In accordance with its previous plans, Galaxy Digital plans to finalize the proposed restructuring and domestication in order to transform into a business with its headquarters in Delaware. This is part of its plan to go public on the Nasdaq once it has completed the filing of the necessary paperwork with the SEC and the stock exchange has given its blessing to the listing. At this time, trading of Galaxy Digital’s shares happens in Canada’s Toronto exchange.
Galaxy Digital is a pioneer in the blockchain and digital asset industries, granting qualified institutions, startups, and people access to the cryptocurrency market. Additionally, Galaxy’s attention is still on the introduction of brand new products. The release of its newest product, Galaxy One Prime, is among them. This product is tailored toward institutional investors. It will provide a consolidated digital environment for trading, lending, derivatives, and access to qualified custody.