Changpeng Zhao-backed YZi Labs has announced an investment in BitGo as the crypto custodian made its debut on the New York Stock Exchange.
Summary
- YZi Labs has backed crypto custodian BitGo’s initial public offering as it bets on regulated crypto infrastructure.
- BitGo’s first day on the NYSE was marked with volatility.
“BitGo has maintained a hack-free security record for over a decade, a testament to the technical foundation,” YZi Labs head Ella Zhang said in a Jan. 23 announcement.
“As the digital asset industry matures, BitGo’s regulated, institutional-grade infrastructure has become a critical competitive advantage,” Zhang added.
While the exact specifics of the investment were not disclosed, YZi Labs said the investment was based on its belief that U.S.-regulated crypto infrastructure will be “inevitably vital” as institutional capital increasingly moves onto digital asset rails.
BitGo was founded in 2013 and offers custody, wallet infrastructure, staking, and settlement services to over 5,100 institutional clients across more than 100 countries. The company said it currently safeguards approximately $82 billion in assets on its platform.
BitGo’s public debut has drawn a lot of attention from the market as the first crypto IPO of 2026. After marketing its shares in a range between $15 and $17 per share, BitGo shares were priced at $18 at listing, which raised about $212.8 million and valued the company at more than $2 billion.
As trading opened, BitGo shares, trading under the ticker BTGO, surged as much as 36% to an intraday high of $24.50 before giving back almost all of those gains by the close. BTGO was trading at around $18.35 in the after-hours session as of last check.
Last year, the custodian received conditional approval for a U.S. banking charter that would allow it to operate as a trust bank, alongside other crypto firms like Circle and Ripple.
Besides YZi Labs, other major backers in BitGo include Goldman Sachs, Valour Equity Partners, Mike Novogratz’s Galaxy Digital, Craft Ventures, DRW, and Redpoint Ventures, among others.
YZi Labs, previously known as Binance Labs, serves as the family office of Binance co-founders Changpeng Zhao and Yi He. According to publicly available information, the firm has invested in more than 300 projects in over 25 countries.
Last year, YZi Labs made its first AI investment in October when it led a funding round for AI video education startup VideoTutor.
