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<p class="is-style-lead">Digital assets custodian BitGo, will not be going forward with its planned acquisition of its rival crypto custody platform Prime Trust.&nbsp;</p> 
<p>BitGo announced the termination of the purchase of Prime Trust via Twitter on June 22. Although the company did not state a reason for breaking off the acquisition deal, BitGo stated that the decision “was not made lightly and BitGo remains committed to our mission to deliver trust in digital assets.”</p> 
<p> You might also like: <a href="https://crypto.news/us-court-grants-galaxy-digital-victory-dismisses-100m-bitgo-lawsuit/"> US Court grants Galaxy Digital victory, dismisses $100m BitGo lawsuit </a> </p> 
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   <p lang="en" dir="ltr">After considerable effort and work to find a path forward with Prime Trust, BitGo has made the hard decision to terminate its acquisition of Prime Trust. This decision was not made lightly and BitGo remains committed to our mission to deliver trust in digital assets.</p>— BitGo (@BitGo) <a href="https://twitter.com/BitGo/status/1671869979321577472?ref_src=twsrc%5Etfw" target="_blank" rel="noopener">June 22, 2023</a>
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<p>The termination comes only two weeks after BitGo initially announced that it would purchase the company. On June 8, BitGo said it signed a non-binding term sheet to purchase all of the equity of Prime Trust’s parent company, Prime Core Technologies, following speculations that Prime Trust was having financial problems.&nbsp;</p> 
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 <div class="wp-block-embed__wrapper"> <iframe title="BitGo's Mike Belshe on What's Next for WBTC &amp; Crypto Custodians" width="1020" height="574" src="https://www.youtube.com/embed/hKgXqkcMxK0?feature=oembed" frameborder="0" allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share" allowfullscreen></iframe> 
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<p>As previously reported by <a href="https://crypto.news/prime-trust-subsidiary-files-for-bankruptcy-in-the-us/">crypto.news</a>, Banq, a subsidiary of Prime Trust filed for chapter 11 bankruptcy, with liabilities of over $5 million and assets worth more than $17.7 million.</p> 
<p>Shortly after BitGo’s announcement, trueUSD said that Prime Trust suspended all fiat and crypto deposits, adding that TUSD was unaffected by the latter’s decision. TrueUSD previously <a href="https://crypto.news/trueusd-pauses-minting-of-tusd-via-prime-trust-stablecoin-briefly-depegs/">halted</a> the minting of the TUSD stablecoin on Prime Trust until further notice.&nbsp;</p> 
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   <p lang="en" dir="ltr">PrimeTrust has suspended all deposits of fiat and digital assets. <a href="https://twitter.com/hashtag/TrueUSD?src=hash&amp;ref_src=twsrc%5Etfw" target="_blank" rel="noopener">#TrueUSD</a> (<a href="https://twitter.com/hashtag/TUSD?src=hash&amp;ref_src=twsrc%5Etfw" target="_blank" rel="noopener">#TUSD</a>) is not affected by this situation. We have no exposure to Prime Trust and maintain multiple USD rails for minting and redemption. Rest assured, all your funds are safe with TUSD.</p>— TrueUSD (@tusdio) <a href="https://twitter.com/tusdio/status/1671898163039596544?ref_src=twsrc%5Etfw" target="_blank" rel="noopener">June 22, 2023</a>
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<p> Read more: <a href="https://crypto.news/3ac-ventures-to-fund-opnx-development/"> 3AC Ventures to fund OPNX development </a> </p>

BitGo terminates plans to buy Prime Trust

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