Digital asset infrastructure company BitGo reported a widening loss in the first quarter as bitcoin treasury mark-to-market losses and IPO-related expenses outweighed strong client growth and a year-over-year jump in revenue.
Revenue for the quarter ended March 31 was $3.8 billion, up from $1.8 billion a year earlier, driven by higher digital asset trading activity and increased support from its stablecoin business, the company said. announced Wednesday. Revenue fell 38.7% from Q4 2025’s $6.2 billion, due to a shift in client trading from spot to derivatives, a product BitGo launched at the start of the quarter that generated nearly $3 billion in notional volume.
However, net loss widened to $60.7 million from $25.7 million in Q1 2025, impacted by the declining value of the company’s bitcoin treasury as well as a $53.7 million non-cash loss related to stock-based compensation from its recent IPO. Stock compensation expenses are expected to normalize going forward, BitGo said.
Adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) swung to a loss of $1.7 million from a gain of $3.9 million a year ago, partially due to $3 million in one-time legal and professional expenses associated with the IPO.
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42% increase in Bitgo client base
On the platform side, the number of clients grew 42 percent year-over-year to 5,569. These are institutions such as hedge funds, exchanges, fintech companies and other businesses that feed into BitGo’s infrastructure. The number of users on the platform also grew to 1.2 million, up 7.3 percent year-over-year.
BitGo KPIs. Source: Business Wire
Stablecoin-as-a-service revenue rose 43.6% to $38.2 million, while staking revenue fell 66.2% to $49.4 million amid lower token prices.
BitGo ended the quarter with $186.6 million in cash and held 2,449 bitcoins worth about $167.1 million.
BTGO shares fell 1.09 percent to $11.78 in overnight trading after the earnings release. According to Yahoo! Finance.
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Crypto giants widen losses in Q1
A string of crypto companies reported deep losses in the first quarter of 2026 amid a market slump. Coinbase ran into a $394.1 million net loss, with $1.41 billion missing revenue estimates of $1.5 billion. Exodus Movement more than doubled its losses to $32.1 million as revenue fell 36.8 percent and active users declined.
Bitcoin miners, including Riot Platforms, Core Scientific, CleanSpark and TeraWulf, all posted wide losses in Q1 2026, with MARA leading the group with a net loss of $1.3 billion, of which nearly $1 billion was due to non-cash mark-to-market adjustments at Bit.
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