Crypto
Home›Crypto›Market Structure›BitGo CFO Edward Reginelli to resign after $19M Q2 net…
BitGo CFO Edward Reginelli to resign after $19M Q2 net loss
BitGo said most of its revenue flowed through as direct trading costs, with Digital Asset Sales margin about $7.1 million in Q2 as spreads and derivatives mix softened.
BitGo said its chief financial officer, Edward Reginelli, will resign effective Sept. 15, with the company also noting it has started a formal search for a successor. In the same disclosure, BitGo said the move does not stem from disagreement with its operations, policies, or practices, and that Reginelli is expected to remain in an advisory role after departure, according to the company filing.
BitGo reported a $19.0 million second-quarter net loss, reversing a $38.3 million profit a year earlier, even as revenue rose 79.6% to $4.33 billion. The quarter’s net loss narrowed from $60.7 million in the prior quarter, but adjusted EBITDA swung to a $4.2 million loss from a $3.0 million gain a year earlier and deteriorated versus the prior quarter.
The company said most revenue passed through as direct trading costs. In Q2, Digital Asset Sales produced $4.20 billion of revenue and $4.19 billion of direct costs, leaving a company-stated quarterly margin of about $7.1 million, and BitGo attributed margin pressure to lower spreads on some spot trades and a smaller mix of derivatives activity.
BitGo also reported pressure in staking revenue, with revenue rising to $64.7 million quarter over quarter but falling 28.8% year over year, and a staking take rate that dropped to 6.0% from 16.1% in the prior quarter. The quarter included a $1.3 million restructuring charge and followed June plans to cut about 15% of its workforce, with BitGo now projecting about $15 million in annualized cash savings from changes to investment priorities and its operating model.