Novogratz Faces $100M Fee Demand in Failed BitGo Merger

Michael Novogratz, billionaire founder of Galaxy Digital Inc., faced off in court this week with BitGo Holdings Inc. Chief Executive Officer Mike Belshe in their ongoing legal dispute over a proposed merger that collapsed four years ago when cryptocurrency markets declined. The original deal was valued at $1.2 billion and was the biggest ever in the crypto industry when it was proposed in 2021. BitGo is demanding that Galaxy pay it at least $100 million for withdrawing from the transaction.

BitGo's Legal Claims

BitGo claims Galaxy failed to use reasonable efforts to complete the deal and concealed details of probes by US authorities that would likely have affected their ability to finalize the merger.