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Home > All Crypto > Billionaire Mike Novogratz unfazed by Galaxy Digital’s $175.8M loss in Q2

Billionaire Mike Novogratz unfazed by Galaxy Digital’s $175.8M loss in Q2

Mike Novogratz’s crypto funding agency Galaxy Digital Holdings has posted a second-quarter lack of $175.8 million.

The determine offers a stark distinction to the agency’s first-quarter report that booked $860 million in complete internet revenue earlier this yr.

Galaxy Digital posted its monetary outcomes as of June 30 on Monday, with the agency attributing the $175.8 million Q2 loss to asset worth declines after FUD-inducing narratives fueled the crypto downturn in Could.

“Throughout the quarter, our outcomes had been impacted by a 34% decline in total digital asset costs and a 41% decline within the worth of Bitcoin, relative to the top of the primary quarter,” the report learn.

In a convention name concerning the Q2 outcomes, CEO and founder Novogratz was unfazed by the loss as he cited a number of key metrics that he’s smitten by akin to counterparty buying and selling quantity, blue-chip partnerships in Goldman Sachs, strategic investments and worker acquisitions.

The CEO highlighted that the agency stays “considerably worthwhile” within the first half of 2021 as internet complete revenue totaled $684 million.

Novogratz famous that market volatility and asset worth declines have been “offset by sturdy tailwinds of adoption throughout the entire ecosystem” as he pointed to Galaxy’s counterparty buying and selling volumes gained 90% in Q2 and 560% year-over-year (YoY). Galaxy Digital’s property beneath administration (AUM) gained 12% from Q1 to surpass $1.42 billion as of June 30:

“It’s vital to keep in mind that once we have a look at the enterprise, the long-term arc of adoption of digital property in crypto issues excess of the companies we’re constructing.”

“We view the adoption battle as a tough one, stickier, and extra financially impactful over time than short-term worth strikes,” he added.

The Q2 report additionally highlighted that gross counterparty mortgage originations grew greater than 130% since Q1 to achieve roughly $1.56 billion.

Associated: Galaxy Digital backs $50M funding spherical for crypto staking outfit Figment

Galaxy’s headcount noticed a major achieve of 45% in Q2 to achieve round 220 staff globally. The agency additionally famous the “key management hires” of Tim Grant, former CEO of Swiss Alternate SIX Group who will function Head of Europe, in addition to former BlackRock COO Jennifer Lee who will turn into the Chief Individuals Officer

The corporate additionally reported an outlay of $52 million of strategic capital into 14 totally different NFT-related corporations with direct investments and thru Galaxy Interactive Fund methods. Novogratz said he was “most excited” concerning the investments in Main League Baseball collectible platform Sweet Digital, NFT sport developer Legendary Video games and NFT platform Artwork Blocks.