管理層發言
Hello, everyone. Thank you for joining us, and welcome to the Bitgo Fourth Quarter and Full Year 2025 Earnings Call. (Operator provided instructions.) I will now hand the call over to Baylor Myers, VP of Corporate Development. Please go ahead.
Good afternoon. Thank you for joining us. Our remarks today will include forward-looking statements, including those regarding our future operating results and financial condition, such as our outlook for the next year, our business strategy and plans, market growth and our objectives for future operations. Actual results may vary materially from today's statements. Information concerning risks, uncertainties and other factors that could cause these results to differ will be included in our SEC filings, including those that are stated in the Risk Factors section of our annual report on Form 10-K for the year ended December 31, 2025, and in our other filings with the SEC. These forward-looking statements represent our outlook only as of the date of this call. We undertake no obligation to revise or update any forward-looking statements. Additionally, the matters we'll discuss today will include both GAAP and non-GAAP financial measures. Reconciliations of any non-GAAP financial measures to the most directly comparable GAAP measures are set forth in our earnings press release. Non-GAAP financial measures should be considered in addition to and not as a substitute for GAAP measures. Joining me today on the call are Mike Belshe, Founder and CEO; as well as Ed Reginelli, our CFO. With that, I will now turn the call over to Mike.
Thank you, everyone, for joining Bitgo's first earnings call as a public company. Since this is our first earnings call, I'm going to give a little more background on Bitgo than we will going forward. Some of you may have heard this before during the IPO process. So thank you for your patience as we go through it, but I want to make sure we're all starting from the same place. When we founded Bitgo over a decade ago, we wanted to create a company that could meaningfully contribute to accelerating the transition to a digital economy. At Bitgo, we believe that digital assets are already fundamentally reshaping the financial system and are going to continue to do so. The ongoing announcements and news from all major traditional firms from Fidelity to Morgan Stanley to SoFi demonstrate that this is true. Since Bitgo's inception, we've been building for a future where all assets will be digital. Early in my own crypto journey, it became clear that the infrastructure to support the shift to digital assets was nonexistent and the ecosystem was incredibly immature. Established financial institutions didn't have a compliant framework, secure custody or even institutional-grade security solutions to rely on. So we set out to build the technology to provide this institutional-grade infrastructure, which could elevate digital assets to a higher level. The product we created is now the industry standard: multi-signature threshold MPC wallets that protect against both theft and loss, and this is what Bitgo was founded on. While other early participants built retail products, we established our track record for building institutional-grade infrastructure. In 2014, we introduced enterprise policy controls to digital asset wallets. In 2018, we launched the first U.S. trust company purpose-built for digital assets. We expanded into prime services and liquidity in 2020 and became the first to support qualified custody under the New York DFS framework in 2021. We built a globally regulated platform spanning the U.S., Europe, Asia and the Middle East. As you're probably aware, we recently received our National Bank Charter under the Office of the Comptroller of the Currency (OCC). That made Bitgo the first public federally chartered digital asset infrastructure company. And we scaled our business model, supporting over 1,700 assets across thousands of institutions and over 1 million users. Through these accomplishments, we've continued to differentiate Bitgo in the broader digital asset industry. To start, we operate purely as infrastructure. We do not manage exchanges. We do not compete with our clients nor do we have the same kind of exposure to digital assets that retail platforms do. We exist to provide security and compliance that empower institutions to participate in the digital asset economy. Our institutional client base is investing in crypto for the long term and has proven itself much stickier and less impacted by short-term market cycles than retail users. It's also important to note that we didn't enter this industry during or because of a hype cycle. We were built and battle tested through many market cycles, fulfilling a growing and enduring need for our clients. Bottom line, Bitgo today is the digital asset infrastructure company, powering institutions, platforms and nations redefining the global economy, and we stand apart as the premier infrastructure provider. So you can think of us a bit like a hyperscaler for digital assets. We're a one-stop shop, multiproduct platform with institutional-grade infrastructure and mission-critical reliability that our partners can build and scale on regardless of where that takes us globally. We believe that no other company can provide the streamlined and comprehensive suite of solutions that we do. Institutions have been forced many times to piece together providers, opening themselves up to operational risk and increased inefficiency. Our vertical platform was built with security as the foundation and provides wallets, qualified custody, trading, staking, lending, settlement and compliance tools, all within one unified scalable infrastructure. Starting with wallets. These are developed in-house and integrated across our platform, driving client stickiness. We operate regulated trust entities globally and provide qualified custody under the most stringent and rigorous regulatory frameworks in the world. Our Go network allows clients to settle assets 24 hours a day, 7 days a week directly from cold storage, which is a significant differentiator. The liquidity services we offer enable institutions to trade, stake, borrow and lend without commingling assets. We're proud to have one of the largest institutional staking platforms in the world. Finally, we also provide Infrastructure as a Service capabilities. This includes token management, stablecoin issuance and crypto as a service. To briefly recap our most recent results, I'm proud of the impressive revenue growth of 424% we achieved for the full year, driven primarily by digital asset sales and gains in subscriptions and services, partially offset by a decline in staking revenue due to digital asset prices. Obviously, Bitgo is a long-term believer in digital assets, and we evaluate our business performance independent of short-term price volatility. So rather than solely citing the USD value of assets on platform, which fluctuates with market prices independent of our business activity, we'd like to also share coin unit growth and price-normalized growth that more directly reflect Bitgo's performance rather than the market's pricing. On a unit basis, BTC on platform grew 8% year-over-year and our top 5 assets by volume grew 3% year-over-year, growth driven entirely by client inflows, not market price movement. On that normalized price basis, assets on platform grew 16% year-over-year. Assets staked declined 7% on the same basis. This is a trend we continue to monitor as certain tokens unlock over time. We believe these normalized figures represent Bitgo's strong performance in an otherwise very volatile market. Moving on to our growth strategy. Our platform operates at the center of the digital asset ecosystem with each new integration, new asset and new user making Bitgo more useful, more defensible and more essential. When protocols, fintechs and issuers build on Bitgo, they bring assets and transaction volume onto the platform. That, in turn, increases demand for liquidity, staking services, financing solutions and compliance infrastructure. Growth in assets and flows naturally gives greater engagement across our product suite. And as we expand functionality, whether through new asset support, prime capabilities or infrastructure services, we increase cross-sell opportunities and deepen our client relationships. The result is a scalable platform model that underpins our growth strategy, driving market expansion, client growth and product expansion that reinforce one another, contributing to revenue growth over time. Now starting with market expansion. We are actively replicating our product in markets globally to ensure that we can serve clients wherever they operate. In 2025, we made more regulatory progress in international markets, notably expanding our license in Germany and becoming custody broker in Dubai. At the domestic level, our OCC license supports our expansion in the U.S. and allows us to provide digital asset services to clients across all 50 states under a single national regulatory framework. In 2026, we are actively expanding into additional regions with several new licenses and registrations already in progress in India, South Korea, the U.K. and the Cayman Islands. We see the biggest opportunity for expansion this year in the APAC region, which represents a significant share of global crypto liquidity and has already established regulatory frameworks for digital asset custody and infrastructure. These markets are seeing increased engagement from banks, asset managers and family offices exploring digital assets, stablecoins and tokenized financial products. Because Bitgo already has a strong presence across several of these hubs, we're well positioned to support institutional clients and adoption as it accelerates demand for regulated client custody, settlement and prime services. On to client growth. We've seen tremendous growth in our client base over time due to a number of factors. In 2025, we saw benefits from expanding internationally, which has helped us win more global clients. In 2026, we are focused on expanding Bitgo's role in institutional market infrastructure by increasing our market share in OTC and derivatives while continuing to build next-generation wallet capabilities. At the same time, we're also investing in agentic wallet infrastructure that enables programmable, automated interactions with digital assets, supporting more sophisticated trading, settlement and treasury use cases for institutional clients. Finally, product expansion. During the first half of 2025, we launched our Stablecoin as a Service and our Crypto as a Service. We started as the issuer for USD1, which has grown to over $5 billion in market cap since its launch, making it one of the fastest-growing stablecoins of all time. We also announced recently that SoFi selected Bitgo's Stablecoin as a Service platform for their SoFi USD stablecoin. Further, we started off 2026 with the launch of our derivatives business, which we believe substantially improves our trade offerings for 2026. So far, we've seen roughly $3 billion in notional trading volume and over $3 million in revenue. We also see opportunities to expand our lending and trading offerings as well as enter tokenized equities as real-world asset tokenization has surpassed $25 billion as of July 2025. Looking ahead, we believe growing regulation of the digital asset industry in the U.S., as evidenced by the passage of the GENIUS Act and ongoing discussions on the CLARITY Act, positions us well to increase our total addressable market. As more regulation is in place, we expect to see more traditional firms come to us looking to get involved in the digital asset industry with solutions that are secure and safe. We're seeing this now with our ecosystem team in support of the Canton network, a blockchain designed for traditional finance, where Bitgo has been the sole qualified custodian for some time. All these efforts will help power our product expansion strategy. We also secured exciting partnerships in 2025 that meaningfully raised our profile, including with Fidelity and Bitcoin. We started 2026 off strong. We're supporting Investify with nationwide digital asset investing for banks and credit unions. We're selected for custody and staking with Fidelity's Solana ETF as well as being named for the Bitcoin ETF, and we are accelerating our global ETF partnership with 21Shares. This is a particularly exciting opportunity as we've seen ETF client count grow over 200% year-over-year. Finally, we can't ignore what's coming with tokenized equities. We see several models emerging to tokenize traditional U.S. equities and all of them require the infrastructure that Bitgo has been building. We're proud to be the custodian on the Figure platform, which launched earlier this year to directly issue equities on blockchain through Figure's open network. To conclude, I'm proud of our achievements in the fourth quarter and full year 2025, and I'm incredibly excited about the start of our journey as a public company. Being public adds another layer of rigor to our business as we continue to operate with transparency and security. We also believe that access to public markets reinforces Bitgo as the steady-state infrastructure player for institutions. I'm confident Bitgo is uniquely positioned within the crypto industry as the digital asset infrastructure company, and we have the right strategy in place to drive growth and deliver significant value for our shareholders. Finally, I want to thank the Bitgo team for their continued hard work and dedication to our company and mission that's made executing our IPO and achieving our strong financial results possible. I now turn it over to Ed.
Thank you, Mike, and thank you all for joining us today. Before reviewing our financial performance, I'd like to build on Mike's discussion of Bitgo's growth drivers and connect to how we generate revenue. Bitgo makes money through five revenue drivers: digital asset sales, staking, subscriptions and services, Stablecoin as a Service and interest income. Starting with digital asset sales. We offer a secure, seamless liquidity solution that simplifies the complexities of digital asset trading. Our revenue reflects the total trading volume generated when the company acts as principal, executing trades on behalf of clients through relationships that Bitgo has with various third-party liquidity providers and exchanges. Second, we earn staking revenue by participating in proof-of-stake blockchain networks where we validate blocks using either our proprietary staking technology or by partnering with our network of 25-plus leading third-party validators. In exchange for providing clients the ability to stake their assets, the company earns blockchain rewards in the form of the network's native tokens. Third, subscriptions and services revenue encompasses our core technologies: wallet services, cold storage, development fees, lending services and Crypto as a Service. This service is very sticky and provides stability and predictability in our financials because our technology is highly integrated into our clients' operations. This relationship provides the opportunity to upsell additional products and services. Fourth, Stablecoin as a Service revenue, which is our newest product offering, launched in fiscal year 2025. This service allows institutional clients to issue U.S. dollar-backed stablecoins using our regulated trust infrastructure. We earn implementation and ongoing service fees for the issuance, reserve management and transaction processing of white-label stablecoins. Lastly, interest income, which represents interest earned from the company's fiat treasury earned from deposits in various money market products. While we are not entirely immune to market volatility, our diversified revenue model helps insulate us from fluctuations in digital asset prices relative to others in the industry. In addition, a meaningful portion of our revenue is recurring and subscription-based and our performance is driven by a broader set of factors beyond asset prices, including interest rates, industry sentiment and continued investment in emerging ecosystem and products. Finally, our focus on institutional clients results in a stickier customer base, especially through periods of market volatility. Moving on to our results. Fourth quarter total revenue of $6.2 billion increased 440% year-over-year. For the full year, total revenue of $16.2 billion increased 424% year-over-year. Growth in both periods was driven by higher digital asset trading activity, increased subscription and service revenue and the launch of our Stablecoin as-a-Service offering, alongside deeper engagement from existing clients and continued expansion of our client base. This growth was partially offset by a decline in staking revenue due to lower digital asset prices. On our key operational metrics, as of the end of the year, number of clients grew 104% year-over-year to 5,322 and number of users expanded 14% year-over-year to 1.2 million users. Assets on platform of $81.6 billion decreased 9% year-over-year, while assets staked of $15.6 billion decreased 51% year-over-year. These declines were driven by lower digital asset prices. To reiterate what Mike noted earlier, excluding the impact of price by applying consistent pricing across periods, assets on platform increased 16% year-over-year, while assets staked decreased only 7%. On a product level, in the fourth quarter, digital asset sales of $6.0 billion increased 531% year-over-year. For the full year, digital asset sales were $15.6 billion, increasing 513% year-over-year. Growth during both periods was driven by higher digital asset trading activity resulting from the continued growth of our OTC services, the expansion of trading pairs on the platform, increased activity from existing clients and an expanding client base. With digital asset sales, there are corresponding transaction costs. In the fourth quarter, digital asset sales costs were $6.0 billion, resulting in a take rate of roughly 24 basis points. For the full year 2025, digital asset sales costs were $15.5 billion with a take rate of approximately 21 basis points. Staking revenue in the fourth quarter of $58.3 million declined roughly 64% year-over-year. Full year staking revenue of $385.0 million decreased 16% year-over-year. Decreases across both periods were primarily driven by volatility in digital asset prices. Similar to digital asset sales, staking revenue includes corresponding fees. In the fourth quarter, staking fees were $55.4 million, resulting in a take rate of roughly 7%. For the full year 2025, staking fees were $346 million with a take rate of approximately 11%. Subscriptions and services revenue in the fourth quarter of $39.3 million increased 75% year-over-year. Full year subscriptions and services revenue of $121.5 million grew 57% year-over-year, primarily driven by an increase in the number of clients, growth in development fees and higher lending activity. Custody and wallet solution clients increased to 1,534 with an average quarterly spend per invoiced client. In addition, we exited the year with a lending book of approximately $207.4 million, representing an increase of 114% year-over-year. Stablecoin as a Service revenue was approximately $26.6 million in the fourth quarter with a take rate of approximately 20 basis points on assets under management. For the full year, revenue totaled $66.7 million with a take rate of approximately 16 basis points on assets under management. As a reminder, this service was launched in fiscal year 2025. Finally, interest income was $0.5 million in the fourth quarter, up 34% year-over-year. For the full year, interest income totaled $1.5 million, up 63% year-over-year, primarily driven by increased fiat treasury investments. Total expenses were $6.2 billion for the fourth quarter and $16.1 billion for the full year, principally driven by digital asset sales costs, staking fees and stablecoin sponsor fees as referenced earlier. Fourth quarter compensation and benefits were $27.9 million, up roughly 19% year-over-year and $104.2 million for the full year, up 30%, driven largely by continued investment in our engineering and commercial teams. Fourth quarter general and administrative expenses were $24 million, up 29% year-over-year and $76 million for the full year, up 44% year-over-year, primarily reflecting increased third-party costs associated with our IPO initiative, higher legal expenses and variable costs tied to customers and revenue growth. Net loss in the fourth quarter was $50 million compared to a net income of $129.4 million in the prior year. Net loss for the full year was $14.8 million compared to net income of $156.5 million in the prior year. Losses in both periods were primarily driven by unrealized losses on the company's digital asset treasury due to falling digital asset prices. Fourth quarter adjusted EBITDA of $12.1 million increased 188% year-over-year, while full year adjusted EBITDA of $32.4 million grew 904% year-over-year. We believe we are in the early stages of growth, and our priority is to accelerate revenue while expanding our product capabilities and global footprint. We will continue to make disciplined long-term investments to support these objectives, even if they temper near-term profitability. Fourth quarter diluted loss per share was $1.03 compared to prior year earnings per share of $1.07. Full year diluted loss per share was $0.38 versus earnings per share of $0.90 in the prior year. Moving on to our balance sheet. Our balance sheet remains strong as we ended the year with $318.5 million in total equity. Our balance sheet includes a Bitcoin treasury strategy under which we retain Bitcoin received or acquired in the ordinary course of business and at times, allocate cash flows to purchase additional Bitcoin. We remain confident in this strategy and our long-term approach remains unchanged. Looking ahead, we are committed to a balanced capital allocation strategy over the long term. As we invest to grow the business, we will remain disciplined in the way we allocate capital and operate as a business in order to minimize risk and maintain liquidity. As of December 31, 2025, total diluted shares outstanding were 119.9 million shares. As a reminder, we issued an additional 11 million shares in our January 2026 IPO. We hold no long or short-term debt on our balance sheet since any borrowings are primarily used to fund our lending business and are on a demand basis. Now turning to expectations for the first quarter of 2026. We've been operating as a publicly listed company for about 10 weeks. And while the quarter is not complete yet, we want to be transparent and share insights into the current market conditions. The macro environment in the fourth quarter was challenging, and those conditions have carried into the first quarter. Digital asset prices have remained under pressure and geopolitical tensions in the Middle East have added additional volatility. These macro conditions, along with the decline in digital asset prices have a direct impact on our revenue streams. We are not immune to these dynamics. With that said, our underlying unit-based metrics remain healthy. Our client pipeline is strong and the structural demand for our platform remains intact. As Mike noted, we are executing on our 2026 growth strategy and continue to see strong growth in our client base and pipeline. In our trading business, we expect strong year-over-year growth in the first quarter compared to Q1 2025, supported by the momentum built during fiscal year 2025. We launched our derivatives business in the first quarter of 2026. As spot trading volumes have declined from the fourth quarter of 2025 amid lower digital asset prices and market volatility, client interest in derivatives has increased as a way to generate yield and provide market downside protection. Please note that a portion of our existing spot trading activity is transitioning to derivatives. While spot trading volumes are reported on a gross basis, derivative trading is reported on a net basis. Other areas to highlight include continued growth in our Stablecoin as a Service business, where assets under management exceeded $5 billion during the first quarter, alongside the addition of new notable clients utilizing the service. We expect solid year-over-year growth in subscriptions and services in the first quarter compared to Q1 2025. However, revenue is expected to be lower than the fourth quarter of 2025, primarily due to a decline in development fees, partially offset by strong recurring revenue base from custody and wallet services and increased lending business. Staking fees, which are most directly impacted by digital asset prices are expected to be significantly lower in the first quarter compared to Q1 2025 and down sequentially from Q4 2025. However, we anticipate a meaningful improvement in take rate relative to Q4 2025, driven by the onboarding of a significant token. Bitgo has been around since 2013, and we have experienced many different market environments over the years. I remain confident in our ability to weather the current dynamic macro environment as our near-term opportunities are strong, underpinned by a deep client pipeline and several active projects. With a constructive and evolving regulatory backdrop, we continue to see strong momentum and remain positive on the digital asset industry as a whole. To close, we are pleased with our strong fourth quarter and full year 2025 results, which position us well to continue executing on our long-term growth strategy. We remain confident in our ability to drive client growth, asset growth and product expansion and to deliver long-term value for our shareholders. Thank you for joining us today. I'll now turn it over to the operator for our Q&A session.
分析師問答
(Operator provided instructions.) Your first question comes from George Sutton with Craig-Hallum.
Congrats on your first quarter. So I wanted to ask on the CLARITY Act, Mike, in terms of — obviously, we're starting to get some sense of what that might look like. I'm just curious if we could use your informed thought process on what you'd like to see or what you're expecting to see relative to how it will impact your business.
George, thank you for the question. We're excited to see CLARITY pass. We hope that it comes about. I know there's been a lot of debate in the industry about, in particular, some of the relitigation of stablecoin points. From my view, most of the work with CLARITY actually comes in the next 18 months after CLARITY is passed because what it sets up is that CFTC's and other regulators can do most of the work in the regulation. And that's going to really determine the bulk of what matters. So we hope that it passes soon. I would take it in almost any form. I don't think we should be worrying about the interest that's being returned or not returned. I think we need to get to the next stage, which is getting this fully enacted and legislated so that we don't have to worry about whether we have a full path forward from Congress. So we're very much in favor of getting CLARITY passed, and I think we're at the finish line.
There was a lot of reference to a very strong client pipeline. I wondered if you could just give us any more sense of what you're seeing from a pipeline perspective. And how much of that is TradFi focused?
Great question. Glad you asked. So look, I mean, you're reading announcements almost every week, Morgan Stanley, Citibank, et cetera. All of these large major players were not participating in digital assets just a short 18 months ago. And with infrastructure, I think you also know that it goes through a pretty significant amount of process. It goes through an RFI, then it goes through some iterations to an RFP and then finally to a close. So we can't announce everything that's done until the client wants to announce it. But the pipeline has been super strong. And in fact, if anything, I just want to make sure that we have enough sales team out there to make sure that we're connecting with everybody that we need to. So we've been growing the sales team over the last 3 to 4 months, there's a lot of work out there.
Your next question comes from Brett Knoblauch with Cantor Fitzgerald.
As we look at maybe the broader crypto space, obviously, there's some weakness here. In your prepared remarks, you guys said you are a bit different of a platform and business isn't entirely correlated to where digital asset prices are going, but then also alluded to the fact that lower digital asset prices will weigh on some of the segments. Can you maybe frame it a bit better, like which segments are you expecting to kind of be pressured with, call it, broader crypto down 20% year-to-date versus which segments do you think can grow strongly irrespective of, call it, the macro market for crypto?
Yes. Thanks, Brett. Good to hear from you again. I mean, in general, I don't want to sugarcoat it: the asset prices being down affects everybody in the sector. And I think we said during the IPO roadshow, I will say it again, Bitgo has some amount of correlation to digital asset prices, and you kind of see it in many aspects of our business. We've got a few that are less correlated. One of them is stablecoins, of course. Those are not directly correlated to crypto prices. The other one is trade volume, which we sell a lot of in up and down markets; those volumes can increase in volatile markets. So it's not a direct correlation to just the asset prices. But of course, it is a direct correlation to what's going on in the space broadly. Lastly, we do have subscription services as part of our offering. Sometimes people are buying a subscription, which caps a monthly minimum, which includes some amount of custody, some amount of trade volume, transaction volume, all under a constant price. So it's a little bit less volatile than the digital asset prices.
Awesome. And then maybe just as a follow-up, you mentioned agentic wallets, which I think is a really interesting area and kind of a hot topic right now. How are you guys positioned for that with respect to your subscription services product? Is it a different bundle? Is it included in the same package? Just broadly, how should we think about agentic wallets and Bitgo together?
Yes. Great. Well, actually, we think the product offering that we have is really well suited for agentic needs and capabilities. We have our MPC server up, and we're watching how AI picks up on that and is able to help put together products and code on it. We're watching that carefully to make sure that we fully understand exactly what clients are looking for, and we react to that as quickly as we can. In terms of why our products are designed for this: when we started doing our institutional-grade wallets, first you've got the basic security components — no single point of failure, protection against loss. But then the next thing is making it work for an institution, a business, a group of people. So there's multiple people on the wallet, there's a policy that you can set, you can say, these types of accesses need these permissions, the other types need these other permissions, you can do it risk-based. This turns out to work really well with agents. Agents are effectively like other participants on the wallet, and you can do it in both directions. You can have agents spending money on your behalf and then going through your controls to approve. And you can also do the reverse where you're spending money and the agent is watching that, so the agent can flag things or approve them according to policy. If you have a large organization and maybe you've federated out different parts of your digital assets to multiple parties, that agent can put other controls on it that you can monitor and then they'll decide whether or not to proceed. So everything we've built is in line for agents. If you are looking for an agentic wallet, please try out Bitgo — give us feedback. We are always iterating and improving.
Your next question comes from Joseph Vafi with Canaccord.
Congrats to you and to Bitgo on getting to this stage of the journey in the company's evolution. Maybe just staying on the agentic for a second. I've been kind of noodling what's going to move the industry forward other than just spot prices. And I think everyone's been thinking that clarity could be a big driver, but agentic AI combined with programmable money and assets and blockchain are kind of all coming into view here. Do you think that agentic could move the industry forward faster than CLARITY? I'm just trying to get a view from your point of view and then a quick follow-up.
Thanks, Joseph. I think it's a little bit apples and oranges. They'll move in different speeds. On CLARITY, having done the roadshow and spoken to many potential investors, many of whom were not active in digital assets prior to the regulatory and market changes, a lot of them are looking for CLARITY to be the permissioning event. CLARITY puts a pathway forward where Congress has said yes and has asked regulators to officially take on that work. I believe there's a significant amount of traditional finance that is waiting on CLARITY. If CLARITY doesn't come through, some of those folks may be intermittent in their participation as the market moves. On the agentic side, we're in an early phase where people are learning how to use agents. You see some of the growing pains that happen while we're all learning. We're excited about it, and yet we're not quite as productive as we hope we will ultimately be. The innovation and exploration wave is just starting. Clearly, there will be many more agents than human operators over time, so you'll see agents operating on our behalf in a lot of ways, but we're in the early days of figuring out deployment models. So both CLARITY and agents will help us, but they are different paths.
All right. And then any other thoughts, Ed? It sounds like take rate may go higher on staking due to adding a new token. Any other color that you may be able to provide there?
Yes. On the staking side, we did add a significant token. Canton was the asset we added, and that has brought a tremendous amount of margin to the product line. Also on other product lines, including our trading business, we referenced earlier the introduction of derivatives, and that has been really successful in Q1. So that's also going to help improve margins. And then as we continue to grow our overall customer base, we'll get incremental revenues from subscriptions and services. The difficult part of the business right now from a revenue perspective because it's so tied to digital asset prices is our staking product line. But we still are very confident in that overall product line and expect that to continue to grow. We'll grow by adding new assets to the platform and more units, and hopefully, we see a recovery in prices.
Your next question comes from Brian Dobson with Clear Street.
Congrats on your first quarter. So maybe we can take a step back and look longer term. As you're contemplating the next year or two for the business, which global catalyst do you expect to be most meaningful for the company and the sector at large?
Sure. There's a lot of questions about digital asset prices. One thing we're trying to help describe is how to differentiate how the market performed versus how Bitgo performed. If you take a look at assets under custody from a normalized price perspective, our assets under custody grew 16% during this year, irrespective of market price movement. That indicates we're doing something right. It's not easy to add billions of dollars of new assets into custody. Where will the next growth come from? I think mostly the TAM is growing. The regulatory unlock of 2025 started with what was now legal in the U.S. to do. The second unlock is the increase of participants in the space. Most traditional financial firms are making significant investments in digital assets. Larry Fink of BlackRock has said every asset will be digitized. We're hearing similar views across the industry. This is a huge growth in the total addressable market for us. As an infrastructure provider, we believe we will be able to serve those clients across custody, financial services and tokenization.
Your next question comes from Pete Christiansen with Citibank.
Congrats Mike, Ed, Baylor on the successful IPO. I wanted to ask about attach rates. You've had some really impressive client growth over the last couple of quarters. I'm assuming a lot of that is custody led. Can you just give us a sense of how you're seeing the attach rates to some other services, in particular, maybe like prime brokerage, how you're seeing that trend? And then as a follow-up, I want to double tap on TV a little bit. How should we think about Bitgo's competitive moat there? Is it that you've got best-in-class capabilities and it also stretches to custody capabilities, or are there other players with bigger balance sheets? Help us understand the competitive strategy to grow ancillary services.
Sure. I'll take part of this and hand it to Ed for attach rates afterwards. I mentioned custody, but I don't want people to think of us as just a custodian. We've had significant attach rates across products. We're trying to move revenue up the stack, which is why we care about increasing trade volumes on Bitgo. When you help people generate yield — whether by trading, staking, or using assets — it's a stronger position. Regarding prime brokerage, the lending book is larger than it's been, trading volumes are up, and those two things together let us build leverage for clients. Right now we're still increasing individual services and building towards prime brokerage in a thoughtful way. Our competitive moat comes from a strong foundation at the bottom of the stack — custody and security — which enables clearer risk assessment for prime services. Many early prime players did not adequately account for custody and counterparty risks. We have cold storage, broad asset support beyond Bitcoin and Ethereum, and a robust regulatory footprint. That combination is differentiating. Ed, do you have specific numbers on attach rates?
Yes. As of the end of last year, about 70% of our revenue-generating clients use two or more of our products and about 50% use three or more. Clients are focused on yield-generating activities, and they prefer sharing some of those profits compared to just paying for stand-alone services. We'll continue driving customers up our product stack. That also helps increase margins — instead of talking basis points, we're talking percentage points. We're actively trying to move more clients to trading, staking, lending and other value-added products we offer.
Your next question comes from Edward Engel with Compass Point.
Could you please talk about the launch of derivatives trading in the first quarter? It looks like it's been a strong start so far, but just wanted to get a better idea of when exactly that was launched and then how you see that ramping throughout the year?
Yes, sure. We're very pleased with how it's been going so far. Let me just say here: we launched on January 1. One thing to note is that spot trading volumes are reported on a gross basis, whereas derivative trading is reported on a net basis, which can make comparisons tricky. We've seen substantial clients moving from pure spot trading over to derivatives. We've seen multibillions of trade volume already in 2026, and we just launched it three months ago. We think the bulk of our trading volume will be increasingly derivatives over the next year or so, and we're happy to offer this to our clients.
Great. That's helpful. And then just to try to sneak one in here: given that successful launch and some recent volatility, is there a world where we could see net trading revenue flat quarter-on-quarter? I know you said higher year-on-year; Q1 is a pretty low base.
We are projecting that our overall gross trading volume will be down quarter-on-quarter. On a net basis, we will also be down quarter-on-quarter, but will be up substantially versus Q1 of 2025. Q4 benefited from a lot of digital asset trading companies and treasury companies that came to the platform, and we had a tremendous amount of volume through them. Those same clients are now using our derivative products, looking for yield and market protection. Overall, we are very positive on our trading and derivative business and expect that to be a huge driver of our future growth.
That's great color. Congrats on being a public company.
Your next question comes from Brian Bedell with Deutsche Bank.
Also congrats on your first quarter here. Very exciting. First question, just on the CLARITY Act and the pipeline. How do you see that progressing during the year? Obviously, you mentioned that the CLARITY Act can be an unlock for traditional finance firms. The pipeline is strong coming into Q1. But do you see this being actioned upon relatively quickly if the Act passes? Or do you expect more of a lagged response as we go throughout the year? From a revenue perspective, I'm thinking about the custody wallet component of subscriptions and services.
We have not seen any slowdown in readiness to adopt digital assets from traditional financial firms. If anything, it's remained strong. Most people expected CLARITY to move sooner, but its timing hasn't slowed clients down. These build-outs take a long time: decision processes for large firms are often 6 to 12 months, then build-out and then deployment, usually risk-adjusted and staged. Because many firms have started the process, it's unlikely they will drop out quickly. So far, there's been no problem.
That's great. And then maybe on the prediction markets venture: it seems like a differentiated way to go about the market. Can you talk a little bit more about that in terms of the OTC platform and how you expect that to work? Is that going to sit at Bitgo? And then what types of contracts are you creating? It sounds like it's mostly in the crypto asset class right now. How is institutional demand playing out?
You're referring to our partnership we announced with Susquehanna. We announced a partnership that allows clients to hold assets at Bitgo and then access markets like Polymarket and Kalshi through our OTC capabilities, working in partnership with Susquehanna. It's early days — we don't have performance data yet — but we had a lot of outreach and excitement about it. It creates a differentiated way to access these markets that wasn't there before. We'll have more to report in future quarters.
Your next question comes from Dan Dolev with Mizuho.
Also congrats from our end at Mizuho. Quick question: it sounds like Stablecoin as a Service has been a huge success. You launched it in the first half of 2025 and it's grown to about $5 billion AUM. How big could this become? And what are potential new ways to monetize beyond what you're doing today?
Great question, Dan. We started with USD1 last year and helped them get from 0 to launch in about six weeks on Bitgo Stablecoin as a Service. It's a modular service so clients can pick components to build on. We announced SoFi USD will be built on the Bitgo platform as well. We think there are many more issuers to come; each large issuer could be a multibillion-dollar stablecoin over time. Stablecoins are easy to understand and useful for payments and cross-border transfers. We're improving our mint and burn dashboard and cross-stablecoin conversion capabilities, which will be important as an ecosystem of many stablecoins grows and clients want to convert between them. On the banking side, tokenized deposits and stablecoins together create interesting opportunities. Eventually, if interest on stablecoins is permitted or clarified, the economics could change, but for now we see strong demand for our issuance and reserve-management capabilities. We believe stablecoins and tokenized money will revolutionize payments and settlements, and Bitgo is well-positioned.
Your next question comes from Chris Brendler with Rosenblatt Securities.
I also add my congratulations on your first quarter out of the gate. I wanted to ask about the OCC approval process. I think it's now complete, but what does that mean for your business? Which areas can you leverage that new charter? It seems somewhat unique and could be a competitive advantage in the near term. I'd love to get a little color there.
Yes. We did convert to the OCC national charter and are Bitgo Bank & Trust now. That has been huge for our business. Operationally we were prepared — we already operate multiple regulated custodians globally — but being able to call ourselves Bitgo Bank & Trust speaks the language of traditional finance. The OCC charter provides a respected national regulatory framework and cuts out ambiguity with state-level attempts to regulate stablecoins separately. By having the national charter, we're better positioned to provide consistent services across states. It's also important for our clients: we serve as a fiduciary for client funds held at Bitgo Bank & Trust, which clients value for holding large reserves. One last point: our Crypto-as-a-Service product has really taken off in 2026; we signed more new clients this year than all of last year, and the OCC charter had a lot to do with that.
That's fantastic and really looking forward to how that progresses. A separate question related to Stablecoin as a Service: great to see the SoFi news. I'd love to hear about the pipeline because stablecoins can be less impacted by crypto price volatility. How does that pipeline look as you enter 2026?
There have been a number of other launches on our platform beyond the headline names, and there's a healthy pipeline. The conversion component between different stablecoins is an area where we're building partnerships and capabilities. If regulation constrains interest on stablecoins, it encourages firms to issue their own stablecoins so they can capture the interest economics within their distribution channel, which favors more issuers and increases demand for Stablecoin as a Service. If interest on stablecoins is eventually permitted, the economics may shift toward an issuer-administrator model similar to ETFs. Either way, we see continued growth in demand for issuance, reserve management and conversion services, and Bitgo is well-positioned to be the infrastructure provider.
Thank you for your participation. That is all the time we have today for the question-and-answer session. I will now turn the call back to Mike Belshe, Founder and CEO, for closing remarks.
Thank you, everybody, for joining us today. I appreciate your interest and support of Bitgo. Thanks, everybody, for saying congratulations. The entire team here at Bitgo works super hard. We've been doing it for 12 years. The people feel we're on a mission to really change the way the financial system works, and we're really proud to be a part of it. So thank you and look forward to keeping in touch with all of you on this journey.
This concludes today's call. Thank you for attending. You may now disconnect.