Galaxy Digital\'s $1.2 Bn Kill Deal Absurd, Seek $100 Mn In Damages: Bitgo

Galaxy Digital’s $1.2 billion deal to kill is insane, and seeks $100 million in damages for BitGo

San Francisco, Aug 16 : After the crypto firms in investment and financial services Galaxy Digital terminated the $1.2 billion acquisition of BitGo the trust for digital assets firm has declared the move “absurd” and sought 100 million dollars in compensation from Galaxy Digital.
The acquisition proposed was the world’s crypto industry’s initial $1 billion deal that ended up falling off in the wake of the global cryptocurrency meltdown.

 Galaxy Digital's $1.2 Bn Kill Deal Absurd, Seek $100 Mn In Damages: Bitgo-TeluguStop.com

BitGo announced late Monday night that it plans to make Galaxy Digital legally responsible for its wrong decision to end the merger agreement.

“It was not set to run out until December 31, 2022 at the earliest, and also in order to avoid paying the reverse break of $100 million fee it had promised to pay back in March 2022 in order to convince BitGo to prolong the merger contract,” explained the company.

BitGo has hired the litigation powerhouse Quinn Emanuel to take appropriate legal actions.

“The attempt of Mike Novogratz (CEO) and Galaxy Digital to blame the termination on BitGo is absurd,” said R Brian Timmons who is who is a partner with Quinn Emanuel.

“BitGo has met its obligations so far, including release of the audited financials.

It is widely known that Galaxy reported an loss of $550 million this last quarter, the stock of which is not performing well as well as that Galaxy as well as Novogratz were focused on the Luna incident,” Timmons mentioned.

Either Galaxy is owed BitGo 100 million in fee for termination as promised, or it has acted in untruth and is facing costs of at least the legal firm has warned.

Galaxy Digital had claimed that no termination fee is due in relation with the ruling.

BitGo’s CEO and founder Mike Belshe said that their business has been growing and its strategic and operational outlook are strong.

“BitGo finished 2021 with more than 64 billion dollars in assets in custody.The growth of clients was robust and BitGo has grown by more than three times over the course of a year.

the growth of clients continues through 2022, which demonstrates the importance of BitGo to keep its focus on the mission of BitGo,” Belshe mentioned.

BitGo offers institutional investors with liquidity, custody and security services.

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