As seen on the 24/7 Wall St. homepage on November 9, 2026.

The profit comes from a bitcoin treasury mark: a $71.5 million unrealized gain on BitGo's own crypto holdings turned a $19.2 million operating loss into positive EPS. Revenue halved year over year and landed well short of consensus as trading volumes stayed soft, leaving the 52.5% growth in Stablecoin-as-a-Service as the only expanding line.

BitGo Holdings reported GAAP earnings per share of $0.36 for the third quarter of 2026, swinging sharply past the consensus estimate of negative $0.04. The result sounds dramatic, but a $71.5 million unrealized gain on the company's own bitcoin treasury did the heavy lifting. Strip that out, and operations ran at a loss of $19.2 million.

Revenue tells a starker story. At $2.85 billion, the top line missed the $4.37 billion consensus by nearly 35% and fell roughly 51% from the same quarter a year earlier. The culprit was Digital Asset Sales, the segment that accounts for the vast majority of gross revenue, which contracted as crypto trading volumes remained persistently soft and margins compressed from 20 basis points to 15 basis points year over year.

Not every segment was in retreat. Stablecoin-as-a-Service grew 52.5% year over year to $37.4 million, driven by higher reserve balances and fixed monthly fees from new stablecoin programs. Staking revenue edged up 5.4% sequentially on higher ETH balances and prices, though the staking take rate fell to 5.9% from 9.7% a year earlier as client mix shifted. The client base itself expanded 33.1% year over year to 6,640, and the company repurchased $24.7 million of common stock during the quarter under its $50 million buyback authorization.

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On the strategic front, BitGo completed the acquisition of NYDIG's institutional trading business during the quarter, adding derivatives, structured products, and financing capabilities. CEO Mike Belshe also flagged plans to position BitGo as infrastructure for bringing traditional assets onto the blockchain, starting with tokenized equities, arguing that the convergence of traditional finance and blockchain infrastructure significantly expands the company's addressable market. Management did not provide quantitative guidance for the quarters ahead.

Investors should note that the SEC filing flags identified material weaknesses in internal control over financial reporting, a disclosure that adds a layer of uncertainty beyond the already volatile earnings picture driven by treasury mark-to-market swings. With cash and equivalents down nearly 95% year over year to $143.2 million and total liabilities of $5.49 billion against total assets of $5.98 billion, the balance sheet leaves limited room for error if trading volumes remain soft into year-end.

Sources

Mentioned: BTGO