BitGo Q1 Loss Widens After Bitcoin Markdown, IPO Costs

BitGo reported a net loss of $60.7 million for the quarter ended March 31, widening from a $25.7 million loss a year earlier. The company recorded a $53.7 million noncash markdown on its Bitcoin treasury and higher stock-based compensation tied to its recent IPO, which offset strong revenue growth.

Revenue rose to $3.8 billion from $1.8 billion in the first quarter of 2025. The year-over-year increase reflected higher digital-asset trading activity and growth in BitGo’s stablecoin business. Revenue declined 38.7% from $6.2 billion in the fourth quarter of 2025, partly because some client trading shifted from spot markets to the derivatives product BitGo launched at the start of the quarter; that product generated roughly $3 billion in notional volume during the period.

Adjusted EBITDA moved to a loss of $1.7 million from a $3.9 million gain a year earlier. Results included about $3 million of one-time legal and professional expenses linked to the IPO. BitGo expects stock-based compensation costs to normalize over time.

On the platform side, institutional clients-including hedge funds, exchanges, fintech firms and other businesses that use BitGo’s infrastructure-increased 42% year over year to 5,569. Total users on the platform grew 7.3% to about 1.2 million.

Product performance varied. Stablecoin-as-a-service revenue rose 43.6% to $38.2 million. Staking revenue fell 66.2% to $49.4 million, which the company attributed to lower token prices. At quarter-end BitGo held $186.6 million in cash and 2,449 Bitcoin, valued at about $167.1 million.

BitGo’s shares slipped around 1% to $11.78 in overnight trading after the release. The results came as several other crypto firms reported wider first-quarter losses, including a large exchange that recorded a $394.1 million net loss, a wallet provider with a $32.1 million loss, and a miner that posted about $1.3 billion in losses, roughly $1 billion of which were noncash Bitcoin markdowns.