BitGo, a digital asset based platform, has provided their approval to an intent-based non-binding letter for acquisition of Prime Trust, a fintech infrastructure company, as stated by Cointelegraph.
According to Cointelegraph, upon agreement’s completion, BitGo will get hold Prime Trust’s payment rails and cryptocurrency IRA fund. It’s believed that this step will enhance BitGo’s wealth management capabilities.
Based on Cointelegraph’s data, Prime Trust’s Nevada Trust company will collaborate with BitGo’s network around trust companies in South Dakota, New York, Germany, and Switzerland. Reportedly, API division of Prime Trust, along with its exchange network, will “map over 1:1” with BitGo services. “This acquisition makes BitGo the first global digital asset company to provide a full suite of solutions for institutions and fintech platforms,” BitGo stated.
Moreover, Cointelegraph noted that this development has happened on account of United States Securities and Exchange Commission suggesting rule alterations. From what it’s understood, this step would increase difficulty for crypto companies to function as customer funds’ custodians.
(With insights from Cointelegraph)
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