PayPal will not buy the service for storing digital assets BitGo, writes Fortune, citing several sources.
The information that the payment company can buy cryptococcaceae, in October, published by Bloomberg. It was assumed that PayPal could consider buying various cryptocurrency companies. BitGo was named as one of the candidates. "Negotiations may still fail, and PayPal may abandon the deal for other purposes," the article said.
BitGo CEO Mike Belshe told Fortune that His company currently controls more than $16 billion in cryptocurrency assets. According to him, several large customers join the service every week. He noted that BitGo, among other cryptocurrency firms, has felt the favorable impact of the current rise in the price of bitcoin.
Belshe believes that the participants of the cryptocurrency industry now face an important task to create infrastructure, in particular from the point of view of security, while they are joined by such large companies as PayPal and Square.
When asked about a possible acquisition of his company PayPal, the CEO said that they "have been negotiating with everyone" for several years and will not agree to a small amount. A Fortune source said that BitGo's negotiations with PayPal have failed, and PayPal is now considering buying other crypto companies.
Belshe said that BitGo is currently not making a profit, as it is "in growth mode". At the same time, he noted that the company has "very stable balance sheets" and does not plan to raise capital in the near future.