Goldman Sachs’ Principal Strategic Investments group and Galaxy Digital Ventures LLC (an investment firm set up by billionaire Michael Novogratz) have recently made noteworthy investments in Palo Alto-based startup BitGo. The two firms together invested about $16 million in BitGo’s Series B funding.

The total funds accumulated by BitGo in its Series B funding now stands at 57.5 million. Goldman Sachs and Galaxy Digital joined earlier investors Valor Equity Partners, Craft Ventures, DRW, and Redpoint Ventures in this Series B funding.

Mike Belshe, CEO, BitGo, said,

“No one is better positioned than BitGo to serve institutional investors who want to trade cryptocurrencies and digital assets. That’s why we’re focused on figuring out what it takes to secure a trillion dollars. The market’s not there yet, but our job is to be ready first.”

Furthering on the development, Rana Yared, an MD of Goldman Sachs’ Principal Strategic Investments group, stated,

“Greater institutional participation in the digital asset markets requires secure and regulated custody solutions…We view our investment in BitGo as an exciting opportunity to contribute to the evolution of this critical market infrastructure.”

“Institutional investors are gradually realizing that digital assets are going to be a game changer, and they want to participate,” said Michael Novogratz, Founder of Galaxy Digital Ventures LLC. “We have been impressed with BitGo’s world-class team, their deep technical understanding of digital assets as well as their ability to deliver institutional-quality products to investors. Our team is excited to support BitGo as it enters into this next phase of growth.”

This step by Wall Street heavyweights, Goldman Sachs’ group and Galaxy Digital is likely to attract more institutions and wealthy investors for BitGo.

Founded in 2013, BitGo is the market leader in institutional-grade investment services, providing institutional investors with security, compliance, and custodial solutions for blockchain-based currencies. In simpler terms, the company offers digital wallets that require multiple signatures for transactions, as well as offline vaults for storing Bitcoin and rival currencies.