Catenaa, Sunday, February 22, 2026- Mizuho initiated coverage of crypto custodian BitGo with an “outperform” rating and a $17 price target, citing the company’s institutional custody platform and security record as drivers for long-term growth.
BitGo shares are trading around $10.15, down roughly 44% from their $18 January IPO price amid a broader pullback in crypto-linked equities.
Analysts highlighted BitGo’s recurring revenue model, with more than 80% of income derived from custody and staking services rather than volatile transaction fees.
The firm safeguards over $100 billion in client assets, and its platform is described as “military-grade,” emphasizing robust security for institutional clients.
Mizuho projects nearly 70% upside from current levels, noting that demand for regulated digital asset infrastructure is expected to grow alongside stablecoins and tokenized real-world assets.
Analysts said large, established providers like BitGo are likely to attract institutional investors seeking reliability and compliance.
Despite the rating, BitGo faces risks from crypto market volatility and rising competition from both crypto-native firms and traditional financial institutions entering the custody space.
Shares surged briefly during the first day of trading but have since declined, reflecting investor caution toward newly public crypto infrastructure companies.
The firm’s long-term strategy focuses on institutional adoption and revenue stability, positioning BitGo to benefit as the market matures, even if short-term price movements remain volatile.
