BitGo has announced the launch of a $50 million share buyback program, causing the stock price to surge by 20%.

BlockBeats News, June 17th, Digital asset infrastructure provider BitGo (BTGO) announced a $50 million stock repurchase plan on Wednesday, causing the stock price to surge by 20% at one point. The plan allows BitGo to repurchase up to $50 million of its common stock through open market purchases, privately negotiated transactions, or block trades, representing approximately 8% of its outstanding shares. The company stated that the plan is effective immediately and has no fixed expiration date.

Despite the price increase on Wednesday, BitGo's stock is still down about 65% from its New York Stock Exchange debut in January this year. The stock's IPO price was $18, and the recent trading price is around $6.07. BitGo's stock decline reflects weakening investor sentiment towards digital asset-related stocks. After last year's cryptocurrency company IPO frenzy, Bitcoin and cryptocurrency prices fell, causing market attention to shift towards AI companies and eagerly anticipated tech companies like SpaceX (SPCX). Several crypto companies, including Kraken and Consensys, have paused their listing efforts amidst the crypto market volatility.