BitGo Pops on $50M Repurchase Program but Remains 65% Under IPO Level

The buyback comes as newly public crypto firms face a more difficult backdrop, with digital asset prices underperforming and investor interest shifting toward AI-driven equities.

Shares of crypto infrastructure firm BitGo (BTGO) surged up to 20% on Wednesday after the company unveiled a $50 million share repurchase program aimed at supporting its stock, which has struggled since its debut earlier this year.

The program authorizes BitGo to buy back up to $50 million of its common shares—around 8% of those outstanding—via open-market purchases, privately negotiated deals, and block trades. The company said the plan takes effect immediately and has no fixed end date.

Chief Financial Officer Ed Reginelli said the move reflects the board’s confidence in the company’s long-term outlook and underlying business strength.

The rally offered some relief after a sustained decline. Despite Wednesday’s gains, BitGo shares remain roughly 65% below their January IPO price on the New York Stock Exchange. The stock debuted at $18 and was recently trading near $6.07.

The drop highlights a broader cooling in sentiment toward crypto-related stocks. Following last year’s wave of crypto IPO enthusiasm, bitcoin and the wider digital asset market have retreated, while investor focus has increasingly shifted to artificial intelligence firms and high-profile upcoming listings such as SpaceX.

Amid ongoing volatility, several crypto companies, including Kraken and Consensys, have paused their IPO plans.

BitGo provides custody, trading, staking, and settlement services for digital assets, and also issues USD1, a U.S. dollar-backed stablecoin tied to the Trump family-backed World Liberty Financial project.

The company is also promoting its BaFin-regulated infrastructure platform in Germany as a solution for firms preparing to comply with the European Union’s MiCA framework ahead of a licensing deadline later this month.