Trial Revived Over Galaxy's Failed $1.2 Billion BitGo Acquisition

Galaxy Digital agreed in May 2021 to acquire crypto custodian BitGo for about $1.2 billion, aiming to expand its institutional digital-asset services, but terminated the deal in August 2022. BitGo subsequently sued, alleging that Galaxy failed to make the contractually required efforts to complete the acquisition. The dispute has become an important test of responsibility for major transactions in the crypto industry.

The case returned to court after the Delaware Supreme Court overturned an earlier ruling dismissing the lawsuit. Galaxy founder Michael Novogratz recently testified that regulatory requirements imposed by the U.S. Securities and Exchange Commission made the deal extremely difficult to complete. BitGo is seeking more than $100 million in damages, with the formal trial scheduled for November 2026.