Former Novogratz’s Company And Goldman Sachs Invest In BitGo
Goldman Sachs, a major investment bank, and venture company Galaxy Digital founded by an expert in the field of crypto operations Mike Novogratz, invested in BitGo security system, according to the corporate press release.
Since many bank customers are interested in the reliability of crypto assets storage, Goldman Sachs and Galaxy Digital invested cumulatively about $15 million during a Series B fundraising of BitGo. The contribution made by such large Wall Street companies will help attract more investors as the company clients. The total amount of raised Series B funds equals $58.5 million.
According to Mike Belshe, CEO at BitGo, many institutions are afraid of storing digital assets and wary of hacking, henceforth the company must develop a reliable system that would win the trust of corporate clients.
California-based BitGo was established in 2013 featuring Novogratz as the founder and initially offered crypto wallets services with a multi-signature function for conducting transactions to its clients. In early 2018, the company decided to purchase custodian services of the Kingdom Trust, but eventually, the deal fell apart and the firm announced that it would develop its own BitGo Trust Co.
The investments received during the BitGo fundraising will be allocated for the development of its crypto wallet. According to the company data, it provides support services for 95 types of crypto coins and tokens, and the turnover of crypto assets stored on its platform exceeds $2 million.
As previously reported, Mike Novogratz announced the global minimum bitcoin price and its long-term stability on the crypto market.