Galaxy Digital Sees 20 Percent Drop In First 30-Mins Trade
With how the cryptocurrency market is handling itself right now during this downtime, publicly listing a digital currency bank was probably not the right move for Mike Novogratz after listing Galaxy Digital (GD) on TSX in Toronto. Following the debut, his company saw a heavy drop of 20 percent value in just 30 minutes of trading operations.
Originally, GD’s shares saw trading at around 2.75 Canadian Dollars during the opening on the 1st of August. Within half an hour of that, a 20 percent decline was spotted, pitting the initial CAD down to around 1.98 in price.
Additionally, GD has lost around $134M during Q1 of 2018 as stated last week by the company. Mike Novogratz, formerly of Goldman Sachs, launched Galaxy Digital last year during the crypto market’s bull run and continued positive performance.
Novogratz himself has expressed the poor timing behind GD’s introduction to the industry. As reports have stated, the growing and anxious demands by Canada’s financial watchdogs hindered Galaxy Digital’s TRX listing to a point where no other option was left but to debut during the current down-market and the severely low prices.
As he stated, if the founder had previously known about the market’s current status and how long it would take to be listed on the stock exchange, he may have remained private with his company for a year or so before debuting and going public. GD was delayed for about eight months by Canadian regulators and BTC saw a massive drop of 50 percent during the eight-month period and given the new prices on the market, the low value of cryptocurrencies will have their own effect on GD’s performance on the market.
Despite this, Novogratz did not express any regrets or second thoughts regarding the matter. Even with how poorly the market is performing, the continues expressing positivity towards block-crypto techs potential to completely revamp and upgrade the global financial industry. Additionally, he already plans on trading GD’s stocks internationally for even further expansion.