Galaxy Digital Founder: SEC Made the $1.2 Billion Merger with BitGo in 2021 Difficult to Complete

Odaily Planet Daily News: Galaxy Digital founder Mike Novogratz testified in the Delaware Court of Chancery that the U.S. Securities and Exchange Commission (SEC) made it very difficult for the company to proceed with the planned $1.2 billion merger with BitGo in 2021. The merger was the largest cryptocurrency merger plan at the time. Galaxy Digital canceled the deal in August 2022, and BitGo subsequently demanded a $100 million termination fee from Galaxy Digital.

Mike Novogratz stated that regulatory approval was unlikely to be achieved, and BitGo failed to provide the required financial information on time, thus forfeiting its right to the $100 million termination fee. BitGo CEO Mike Belshe, however, said BitGo had provided all necessary information. The trial is currently expected to conclude this week, and the judge will decide whether BitGo is entitled to the $100 million fee. (Cointelegraph)