BitGo terminates planned Prime Trust acquisition

- Cryptocurrency custody provider BitGo has announced that it is terminating the firm's planned acquisition of its cash-strapped rival Prime Trust just two weeks after the custodians announced that a preliminary deal had been reached.

According to several Twitter users, Prime Trust sent an email to its customers on Wednesday announcing that it has suspended all deposits and withdrawals, effective immediately, after it received a cease and desist letter from Nevada state regulators. “Prime Trust is actively engaging the NV FID to determine next steps to remediate any concerns and return to business as usual as soon as possible,” the email said. “We sincerely apologize for this inconvenience and ask you to be patient with us while we work with the regulators to prove more clarification on the next steps.”

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