Cryptocurrency bank Galaxy Digital suffers $134M loss in Q1
Mike Novogratz’s, who founded the Galaxy Digital recently, came up with his first-quarter report announcing a loss of $134 million. Galaxy Digital lost $13.5 million trading business, $88.5 million loss on digital assets, $1.1 million for loss in paper investments and $22.9 million loss in its principal investing business. The firm had a digital assets corpus of $281.7 million and it added $225.8 million in digital assets and investments.
“I am very proud of the progress that we have made since the beginning of the year. We have assembled a world-class team with deep institutional knowledge and expertise and have also made significant strides in scaling our four core business lines,” he said.
The company recently invested $52.5 million in Blockfi, a crypto-lending startup, which will help it expand the business to new horizons along with the support of more cryptocurrencies. Zac Prince, ex-vice president of Cognical, founded Blockfi in New York in January this year. In February, the firm receives $1.55 million in another round that saw the participation of ConsenSys, Ventures, Sofi and Kenetic Capital.
“The support we’ve seen from existing clients and investors highlight the strong demand for leveraging Bitcoin or Ether for low-cost USD loans. We look forward to expanding our services to support more cryptocurrencies and more geographic markets in the near future,” Price was quoted by Cointechgraph.
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