TL;DR
- BitGo reported Q3 net income of $44.1 million, up from $22.7 million a year earlier, despite total revenue falling 50.9% to $2.85 billion.
- The profit improvement was driven mainly by a $71.5 million unrealized gain on BitGo’s digital-asset treasury, while adjusted EBITDA remained negative at $4.3 million.
- Normalized assets on platform rose 31.9% year over year, clients increased 33.1%, and BitGo successfully completed its acquisition of NYDIG’s institutional trading business.
BitGo reported third-quarter net income of $44.1 million even as total revenue fell 50.9% year over year to $2.85 billion. According to the official results, revenue also declined 34.1% from the previous quarter, reflecting lower digital-asset sales activity in a softer trading environment. The profit increase came primarily from a $71.5 million unrealized gain on BitGo’s digital-asset treasury rather than stronger operating revenue. The quarter offers a contrasting picture for a company positioned around institutional crypto custody, trading, staking and settlement infrastructure.
Treasury Gains Offset Weaker Trading Revenue
Net income nearly doubled from $22.7 million a year earlier and reversed the $19 million loss recorded in Q2. However, adjusted EBITDA remained negative at $4.3 million, compared with a $13.5 million profit in Q3 2025. BitGo’s headline profitability improved while its underlying adjusted operating measure stayed in loss territory. Revenue after direct costs fell 32.1% year over year to $37.3 million, while operating expenses excluding direct costs declined 5.5% sequentially following cost-reduction initiatives. The result follows BitGo’s Q2 loss, when weaker margins and treasury losses weighed on earnings.
Digital-asset sales generated $2.72 billion in revenue, down 52% year over year, with a contribution margin of $4.2 million. Staking revenue reached $68.2 million, while Stablecoin-as-a-Service revenue rose 52.5% year over year to $37.4 million. The revenue mix shows that BitGo’s largest business remained highly sensitive to crypto trading activity even as some recurring or infrastructure services expanded. During the quarter, BitGo completed its acquisition of NYDIG’s institutional trading business, adding derivatives, structured products and financing capabilities to its institutional platform.
BitGo ended September with $59.9 billion in reported assets on platform and $10.5 billion staked. Adjusted for price differences, normalized assets on platform increased 31.9% year over year and normalized staked assets rose 41.1%. Client count climbed 33.1% to 6,640, while users reached 1.3 million. The operating metrics suggest client and normalized asset growth continued despite weaker reported revenue and lower market prices. BitGo also repurchased $24.7 million of common stock and held 2,399 company-owned Bitcoin worth $200.4 million at quarter-end, while continuing to expand services such as institutional stablecoin infrastructure. The company also reported $143.2 million in cash and cash equivalents and no corporate-level debt other than borrowings used to fund lending activities, adding balance-sheet context to the quarter’s stronger net-income figure for public investors.
