Galaxy Digital Quarterly Loss Now Increasing Due To Bitcoin ETF Expectations
Key Points:
- Galaxy Digital quarterly loss amounted to $94 million in Q3 due to market challenges.
- Despite increased trading volume, the company’s Q3 trading revenue decreased by $6 million to $14 million.
- Galaxy Digital remains optimistic, with expectations of SEC approval for a Bitcoin ETF by 2023.
According to Bloomberg, Galaxy Digital Holdings Ltd., the cryptocurrency financial services firm led by Michael Novogratz, reported a widening loss in the third quarter, attributed to a decline in token prices and increased market volatility.
Galaxy Digital Quarterly Loss Widens Amidst Market Turbulence
Galaxy Digital quarterly loss amounted to $94 million in Q3, compared to $68 million in the same period last year, and a loss of $46 million in the previous quarter. Although consensus estimates anticipate savings of $44 million, the company faces challenges.
Despite a 70% increase in trading volume, Galaxy Digital quarterly loss reached $6 million in trading revenue, totaling $14 million. However, the firm noted a significant improvement in its financial position following the quarter’s end. In October, Galaxy reported $124 million in income before tax and $24 million in trading revenue, mainly due to the surge in digital asset prices, including Bitcoin, which had risen nearly 30% that month.
Additionally, Galaxy’s asset management business experienced an 11% quarterly increase in management and performance fees, reaching $4.7 million. Their preliminary assets under management as of September 30 stood at approximately $3.9 billion, marking a 58% increase from the previous quarter.
Optimism Persists as Galaxy Digital Anticipates Bitcoin ETF Approval
Despite challenges, Galaxy Digital Holdings remains on a positive trajectory, with its shares surging by 97% over the year. Michael Novogratz expressed optimism, expecting that the US Securities and Exchange Commission will approve an exchange-traded fund directly invested in Bitcoin by the end of 2023. This optimism follows Galaxy’s partnership with Invesco in plans to launch such a product.
DISCLAIMER: The information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.
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Galaxy Digital Quarterly Loss Now Increasing Due To Bitcoin ETF Expectations
Key Points:
- Galaxy Digital quarterly loss amounted to $94 million in Q3 due to market challenges.
- Despite increased trading volume, the company’s Q3 trading revenue decreased by $6 million to $14 million.
- Galaxy Digital remains optimistic, with expectations of SEC approval for a Bitcoin ETF by 2023.
According to Bloomberg, Galaxy Digital Holdings Ltd., the cryptocurrency financial services firm led by Michael Novogratz, reported a widening loss in the third quarter, attributed to a decline in token prices and increased market volatility.
Galaxy Digital Quarterly Loss Widens Amidst Market Turbulence
Galaxy Digital quarterly loss amounted to $94 million in Q3, compared to $68 million in the same period last year, and a loss of $46 million in the previous quarter. Although consensus estimates anticipate savings of $44 million, the company faces challenges.
Despite a 70% increase in trading volume, Galaxy Digital quarterly loss reached $6 million in trading revenue, totaling $14 million. However, the firm noted a significant improvement in its financial position following the quarter’s end. In October, Galaxy reported $124 million in income before tax and $24 million in trading revenue, mainly due to the surge in digital asset prices, including Bitcoin, which had risen nearly 30% that month.
Additionally, Galaxy’s asset management business experienced an 11% quarterly increase in management and performance fees, reaching $4.7 million. Their preliminary assets under management as of September 30 stood at approximately $3.9 billion, marking a 58% increase from the previous quarter.
Optimism Persists as Galaxy Digital Anticipates Bitcoin ETF Approval
Despite challenges, Galaxy Digital Holdings remains on a positive trajectory, with its shares surging by 97% over the year. Michael Novogratz expressed optimism, expecting that the US Securities and Exchange Commission will approve an exchange-traded fund directly invested in Bitcoin by the end of 2023. This optimism follows Galaxy’s partnership with Invesco in plans to launch such a product.
DISCLAIMER: The information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.
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