BitGo, a cryptocurrency custody specialist, has purchased HeightZero, a company that offers software solutions to financial managers whose customers may wish to allocate a portion of their portfolios to digital assets and cryptocurrency. The transaction’s financial specifics were not disclosed to the public.
Cryptocurrency trading is known for its frantic, risky, and intricate trading methods. Offering safe, long-term holdings is the goal of numerous institutional players as well as some of the first cryptocurrency companies, with a focus on regulated investment advisors (RIAs) and conventional wealth managers.
According to BitGo CEO Mike Belshe, wealth managers and registered investment advisers (RIAs) should be alerted to how the cryptocurrency market is expected to respond to the expected approval of a spot bitcoin (BTC) ETF soon.
In an interview, Belshe stated, “RIAs should absolutely be calling up BitGo, getting HeightZero, getting qualified custody and doing it now, before the ETF.” “Because there will be enormous demand for bitcoin when the ETF hits.” You can now hold off on investing in it until the ETF is released. However, you will lose out on a significant advancement.
For cryptocurrency clients, HeightZero manages automated invoicing, tax loss harvesting, statement creation, and portfolio rebalancing. Before joining the bigger company, the firm used BitGo custody for a while.
BitGo, on the other hand, just received $100 million and is rumoured to be in the process of being acquired.
Belshe stated, “Unfortunately, this downturn has resulted in many companies reaching the end of their runway and you may be looking at a distressed asset type of purchase.” These may work out in certain cases, and we will certainly consider all options. However, we’d like to think that we have a slightly more strategic course going ahead, and HeightZero is a nice illustration of that in my opinion.