Galaxy Digital Takes Heavy Losses During Q1 This Year
Galaxy Digital was founded by Michael Novogratz. Earlier this year, during the first official quarter, the company saw massive losses reported earlier this week. According to reports, the crypto bank suffered significant losses of around $134 million in total, with $103M going to trading, $13.5M for cryptocurrencies and $85.5M in misplaced assets.
After reporting their initial report earlier this month, the heavy losses were largely due to the fact that the founder launched his company 30 days before Bitcoin, the largest and leading digital coin throughout the world. Earlier in 2017, Bitcoin peaked at a record high of $20000 and as of now, it’s only trading at around $8000.
Mike Novogratz made an official statement regarding the big time losses and stating his belief in the company and its expansion and that Galaxy Digital was equipped with the necessary tools to advance crypto-blockchain technology. within the industry. As per the published papers by the company, within just this year, more than $80M was invested in 11 fundings and 6 purchases in total, dropping from its $280M budget down to $225M. The founder has also invested $302M out of his own pocket into the company and owns a significant share.
News reports also mentioned a $15M investment into AlphaPoint, a company design and publish a digital gold trading exchange. Commenting on the $15M, the founder stated that the company was looking forward to its new partnership to support and advance further in the development and adoption of the tech. He also collaborated with Bloomberg to launch the BGCI exchange.