Digital asset trust company BitGo has terminated its acquisition deal with the crypto custodian Prime Trust. Earlier in June, the firm had signed a non-binding term sheet to acquire 100% of Prime Trust's parent company, Prime Core Technologies. BitGo said it did not make the decision easily, and it is a result of considerable effort to find a path forward. - The firm also underlined that it would remain committed to delivering trust in digital assets.
- The two firms reached an agreement after Prime Trust faced financial difficulties due to its exposure to the bankrupt crypto lender Celsius.
- At the time, BitGo stated that the deal would bring business continuity and long-term stability to Prime Trust clients.
Prime Trust began operations in 2018, and since then, it served nearly 700 clients. - Prime Trust's subsidiary Banq also recently filed for Chapter 11 bankruptcy protection in the U.S. District Court of Nevada.
| 