July 25, 2021

Newspay

Bitcoin & Ethereum Blockchain News

Galaxy Digital books $860M in net comprehensive income in Q1

Galaxy Digital Holdings, a cryptocurrency-focused investment manager, booked a stellar first quarter on the back of surging digital asset valuations.

Source: cointelegraph.com

The company’s net comprehensive income, which includes net income and unrealized income, surged to $860.2 million in the quarter ending March 31, 2021. In the first quarter of 2020, Galaxy Digital booked losses of $26.9 million.

Assets under management increased 58% during the quarter. Income from trading surged to $508.7 million from a $31.5 million loss in the first quarter of last year.

Galaxy Digital’s three Bitcoin funds returned 101.92% year-to-date through March 31.

“Beyond delivering dramatic organic growth, we announced we will acquire BitGo, which will establish Galaxy Digital as the first full-service digital asset financial platform for institutions and ensure our business is aligned with broader institutional adoption,” said CEO Michael Novogratz.

Galaxy Digital revealed earlier this month that it will acquire BitGo, a leading cryptocurrency custodian and service provider, for $1.2 billion in stock and cash. To finance the acquisition, Galaxy will use its balance sheet and defer the rest of the payment up to 12 months after the deal closes.

The Novogratz-led firm is one of several institutions vying to list the first Bitcoin exchange-traded fund in the United States. As Cointelegraph previously reported, Galaxy Digital submitted its application for a Bitcoin ETF with the Securities and Exchange Commission on Apr. 12.

Many crypto proponents believe that a Bitcoin ETF could streamline institutional adoption of digital assets in the United States. The SEC has yet to approve any Bitcoin ETF over volatility and price manipulation concerns.