The buyback comes as recently listed crypto companies navigate a tougher market environment, with digital asset prices underperforming and investor focus increasingly shifting toward AI-related stocks.

Shares of crypto infrastructure firm BitGo (BTGO) climbed as much as 20% on Wednesday after the company announced a $50 million share repurchase program aimed at supporting its stock following a weak performance since its public debut earlier this year.

The initiative authorizes BitGo to repurchase up to $50 million of its common shares—around 8% of those outstanding—through open-market purchases, privately negotiated transactions, and block trades. The company said the program is effective immediately and has no set expiration date.

Chief Financial Officer Ed Reginelli said the move highlights the board’s confidence in the company’s underlying business and long-term growth prospects.

The rally offered some relief after a prolonged slide. Even with Wednesday’s gains, BitGo shares remain roughly 65% below their January IPO price on the New York Stock Exchange. The stock debuted at $18 and was recently trading near $6.07.

The decline reflects a broader cooling in sentiment toward crypto-related equities. After last year’s wave of enthusiasm around crypto IPOs, bitcoin and the wider digital asset market have weakened, while investor attention has increasingly turned toward artificial intelligence companies and high-profile upcoming listings such as SpaceX.

In response to ongoing market volatility, several crypto firms, including Kraken and Consensys, have paused their IPO plans.

BitGo provides a range of services, including custody, trading, staking, and settlement for digital assets. It also issues USD1, a U.S. dollar-backed stablecoin linked to the Trump family-supported World Liberty Financial initiative.

The company has also been promoting its BaFin-regulated infrastructure platform in Germany as a solution for firms preparing to comply with the European Union’s MiCA framework ahead of a licensing deadline later this month.