BitGo Signed Up 1,652 New Clients in a Year as Its Revenue Headline Halved

BitGo’s third-quarter report reads two ways at once. The headline revenue figure fell by half from a year earlier, yet the crypto custodian finished the quarter with more clients, more price-adjusted assets in its care and a return to net profit. For anyone tracking BitGo stock, the gap between those numbers is the real story.

The company, which trades on the New York Stock Exchange as BTGO, published its results for the three months to September 30 in an exhibit to a Form 8-K filed with the U.S. Securities and Exchange Commission on November 9.

Client count climbs 33% in a year

BitGo ended the quarter with 6,640 clients, up from 4,988 a year earlier and 5,833 at the end of June. That is a 33.1% gain year over year and a 13.8% jump in a single quarter. The company also reported about 1.3 million users across its platform.

BitGo serves exchanges, funds, corporate treasuries and fintech platforms rather than retail traders, so each new account tends to bring recurring business. Steady sign-ups suggest institutional demand for regulated custody did not pause with prices.

Reported assets fell, but price-adjusted assets rose

On a reported basis, assets on the platform dropped to $59.9 billion from $104.0 billion a year earlier and $65.2 billion in the second quarter. That decline largely reflects lower crypto prices, so BitGo also publishes a normalized figure that restates earlier periods at current-quarter prices.

On that basis, assets on platform grew 31.9% from $45.4 billion a year earlier to $59.9 billion, and edged up from $59.6 billion in June. In other words, clients put more coins into BitGo’s custody, even though each coin was worth less in dollars.

Staking showed the same pattern. Reported assets staked were $10.5 billion, against $28.6 billion a year earlier, but on a normalized basis staked assets rose 41.1% from $7.4 billion. Measured at September 30 prices rather than quarterly medians, the company put assets on platform at $83.0 billion and assets staked at $16.3 billion.

Why revenue halved while the business grew

Total revenue came in at $2.85 billion, down 50.9% from $5.81 billion a year earlier and 34.1% from the second quarter. Most of that line is gross digital asset sales, where BitGo books the full value of crypto it sells to clients and then records nearly the same amount as a cost. Digital asset sales alone accounted for $2.72 billion of revenue.

The figure that better reflects what the company keeps is revenue less direct costs, which was $37.3 million. That was down 32.1% from a year earlier and 12.1% from the second quarter. The margin on digital asset sales narrowed to 15 basis points, from 17 basis points in the prior quarter and 20 basis points a year ago.

Subscriptions and services, which carry no direct cost line in the release, contributed $25.6 million, the largest share of what BitGo kept. Staking generated $68.2 million in gross revenue at a 5.9% take rate. Stablecoin-as-a-Service revenue grew 52.5% year over year to $37.4 million, a sign that tokenized dollars are becoming a meaningful product line for custodians, not just exchanges.

A Bitcoin treasury lifts the bottom line

BitGo posted net income of $44.1 million, or $0.36 per diluted share. That compares with $22.7 million a year earlier and a $19.0 million loss in the second quarter.

The swing came largely from a $71.5 million unrealized gain on the company’s digital asset treasury. BitGo held 2,399 company-owned Bitcoin with a fair value of $200.4 million at September 30, which works out to roughly $83,500 per coin. Like a growing number of listed companies, BitGo now carries Bitcoin on its own balance sheet, so its reported earnings move with the market.

Adjusted EBITDA, which strips out those mark-to-market effects, was a loss of $4.3 million, roughly flat with the $4.2 million loss in the second quarter and down from a $13.5 million profit a year earlier. Operating expenses fell 5.5% from the prior quarter to $56.6 million, and the company ended September with $143.2 million in cash.

Earnings tied to Bitcoin’s price can cut both ways. Bitcoin traded near $74,250 on Tuesday morning, below the September 30 valuation, so the treasury’s dollar value will depend on where prices settle by the end of the year. Readers following how miners handle the same exposure can compare MARA’s latest earnings and Bitcoin sales.

Buybacks, NYDIG trading desk and a bank charter

BitGo repurchased $24.7 million of its own stock during the quarter under a $50 million authorization. It also completed the acquisition of NYDIG’s institutional trading business, adding execution capacity to its prime brokerage arm.

The company extended its off-exchange settlement integration with OKX to international clients and introduced a Global Liquidity Layer within BitGo Prime. It also said it plans to support tokenized equities.

BitGo describes its subsidiary, BitGo Bank & Trust, N.A., as the first federally chartered digital asset trust bank owned by a public company. That charter gives it a regulated footing that many institutional allocators require before they move assets.

What the quarter says about institutional digital asset custody

The broader takeaway is that institutional plumbing for Bitcoin keeps expanding through a softer market. More clients, more coins under custody and steady growth in stablecoin and staking services point to deeper adoption, even when dollar-based headline figures shrink.

That fits a wider trend of regulated Wall Street products gaining ground, from custody banks to spot funds such as Morgan Stanley’s Bitcoin ETF. For BTGO stock, the next test is whether that growing client base can turn back into positive adjusted EBITDA as trading margins settle. For Bitcoin, the message is simpler: the institutions building the rails are still signing up new users.

This article is for information only and is not investment advice. Figures are taken from BitGo’s Q3 2026 results as filed with the SEC.