BitGo announced the close of a two-step merger to acquire NYDIG's institutional trading business for approximately $42.5 million, consisting of $7 million in cash and about $35.5 million in BitGo stock.

The transaction brings roughly 30 NYDIG employees and its institutional client relationships into BitGo.

The acquired unit will provide derivatives, structured products, financing, and capital markets solutions to asset managers, hedge funds, corporations, and family offices.

The deal includes performance-based incentives, including a $10 million cash payment tied to a revenue milestone, up to $5 million in cash and additional BitGo shares tied to a second milestone, and retention awards for transferred personnel.

NYDIG said it will focus on power generation, Bitcoin mining, and high-performance computing data centers, and disclosed development reserves of more than 3 gigawatts.

BitGo recently completed its IPO on the New York Stock Exchange, valuing the company at about $2 billion after the offering, and has also launched the USDS token.