Custodian BitGo refused to buy cryptocurrency storage company Prime Trust.
After considerable effort and work to find a path forward with Prime Trust, BitGo has made the hard decision to terminate its acquisition of Prime Trust. This decision was not made lightly and BitGo remains committed to our mission to deliver trust in digital assets.
— BitGo (@BitGo) June 22, 2023
“After considerable effort and work to find a way forward with Prime Trust, BitGo has made the difficult decision to end its acquisition of Prime Trust. This decision was not easy. BitGo remains committed to our mission of building trust in digital assets,” the company wrote.
Founded in 2016 in Las Vegas, Nevada, Prime Trust specializes in providing developer tools and APIs, including payment systems, compliance, liquidity, settlement and digital asset custody. There are about 700 fintech and crypto projects among the company’s clients.
In June 2022, Prime Trust raised $107 million to grow the business despite the bear market.
In August 2022, the custodian became involved in a legal battle with bankrupt crypto-lending platform Celsius Network, which demanded the return of approximately ~$17 million in digital tokens.
Recall that in early June, BitGo entered into a preliminary agreement to purchase 100% of the shares of Prime Core Technologies. The latter includes Prime Trust.
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