Strap in for the long bull run that’s about to ensue for Mike Novogratz’s New York Based Cryptocurrency Merchant Bank; Galaxy Digital Holdings, Ltd. (TSXV:GLXY / OTC:BRPHF). The New York Company was listed on Toronto Stock Exchange Ventures (TSXV) August 1, 2018. It’s currently trading 25% below the IPO price. Since the IPO, (8) MAJOR announcements have been made and I’m not sure anyone’s been paying attention. Here’s your “Heads UP!
“After opening at $2.75 Canadian dollars ($2.11 USD) apiece for their first ever listing on Toronto’s TSX Venture Exchange, shares in Galaxy Digital LP fell 20 percent in the first half hour of trading. Shares were down further to $1.98 CAD ($1.52 USD) as of 1:48 p.m. ET August 1, according to CNBC.
Galaxy Digital LP is trading as ‘Galaxy Digital Holdings Ltd’ under the stock exchange’s GLXY ticker, slightly renamed after its founder, former Goldman Sachs partner and crypto bull Mike Novogratz, opted to secure the listing via a so-called “reverse takeover” route.
Lacking the two years’ of audited financials required for a U.S. initial public offering (IPO), Novogratz instead acquired a Canadian crypto start-up Coin Capital, which he then merged with an already TSX-listed Canadian shell company Bradmer Pharmaceuticals, CNBC reports.
TSX is the largest stock exchange in Canada and the third largest in North America by capitalization, following the New York Stock Exchange (NYSE) and Nasdaq.
As Cointelegraph has previously reported, Galaxy initially sold shares at $5 CAD (about $3.80 USD) each in a private placement this January, weeks after Bitcoin(BTC) had peaked to industry record highs around $20,000 in December 2017.” — Cointelegraph
“Michael Novogratz is the Founder, CEO and Chairman of Galaxy Digital. He was formerly a Partner and President of Fortress Investment Group LLC. Prior to Fortress, Mr. Novogratz spent 11 years at Goldman Sachs, where he was elected Partner in 1998. Mr. Novogratz served on the New York Federal Reserve’s Investment Advisory Committee on Financial Markets from 2012–2015. Mr. Novogratz serves as the Chairman of The Bail Project and has made criminal justice reform a focus of his family’s foundation. He also serves as the Chairman of Hudson River Park Friends, and sits on the boards of NYU Langone Medical Center, the Princeton Varsity Club, Jazz Foundation of America, and Artists for Peace and Justice. Mr. Novogratz received an AB in Economics from Princeton University, and served as a helicopter pilot in the US Army.” — GalaxyDigital
Sounds like a badass to me! “If I could be like Mike!” — Gatorade
“Galaxy Digital is a diversified merchant bank dedicated to the digital assets and blockchain technology industry. Galaxy Digital’s multi-disciplinary team has extensive experience spanning investing, portfolio management, capital markets, operations, and blockchain technology.
“Our mission is to institutionalize the space, and promote the growth and advancement of the underlying ecosystem and technology behind digital assets and blockchain.”” — Mike Novogratz
“Galaxy Digital Principal Investments focuses on providing strategic, long-term capital to industry-leading businesses throughout our ecosystem. Our mission is to stand behind companies that we believe will be successful in helping to accelerate and promote the institutional adoption of blockchain technology and digital assets. Our team of investment professionals have unparalleled institutional expertise in analyzing and executing on providing capital to partner businesses in all stages of their lifecycle, from seed stage ventures to mature operating businesses. Our team has extensive experience investing across the capital structure, including large and small cap cryptocurrencies, illiquid ICO/Pre-ICO contributions, early- and later-stage venture capital, growth equity, private equity, and all forms of secured, unsecured, and structured lending.
Galaxy Digital Ventures manages a diverse portfolio of early-stage investments primarily centered around blockchain infrastructure, custody, exchanges, ecosystems, and business to business (B2B) software solutions. In addition to funding investments through our Principal Investments team, we also manage a $325 million venture fund that seeks to directly invest in emerging projects and opportunities supported by the EOS blockchain.
Galaxy Digital Lending and Special Opportunities seek to originate and deploy attractively priced capital secured by liquid and illiquid assets (including digital assets) to a diverse portfolio of high quality businesses in the ecosystem in order to provide necessary leverage to the sector.” — GalaxyDigital
After researching Novogratz and Galaxy for hours yesterday, I was so amped that I purchased $3,000 worth of shares at $1.60. I’m convinced not only of Mike’s abilities as CEO, but of his vision for the entire Crypto-Economy. I can imagine EXACTLY what he’s building. It all makes sense to me.
1. January 2018 when Galaxy Holdings was private, they announced a Joint venture with Block.one for a New $325 Million EOS.IO Fund. “Brendan Blumer, CEO of Block.one, commented: “Mike Novogratz and the team at Galaxy Digital are leading advocates for blockchain adoption and share our belief that this software fundamentally expands the capabilities of blockchain technology. We are excited to add Galaxy to the list of industry leaders driving EOS.IO innovation and expect this partnership to serve as an enormous catalyst for ecosystem growth.”- GlobeNewsWire
2. October 2018 Goldman Sachs and Galaxy Back BitGo’s Ambitions to Create a $1 Trillion Crypto Wallet. “BitGo is currently the largest processor of on-chain Bitcoin transactions, accounting for 15% of all global Bitcoin transactions, and sees $15 billion each month in cryptocurrency transactions across all of the 95 plus coins the wallet supports.
BitGo, as with many other entities in the cryptocurrency space, are bolstering their offerings to lure institutional investors into the space. Among chief concerns preventing institutional money from entering the cryptocurrency arena, is a proper custodial solution, which BitGo aims to create.
Rana Yared, managing director of Goldman Sachs’ principal strategic investments group agrees with the theory, explaining that “greater institutional participation in the digital asset markets requires secure and regulated custody solutions.”
“We view our investment in BitGo as an exciting opportunity to contribute to the evolution of this critical market infrastructure,” the Goldman Sachs exec added.
“Institutional investors are gradually realizing that digital assets are going to be a game changer, and they want to participate.” He continues that BitGo has the “deep technical understanding of digital assets” and “ability to deliver institutional-quality products” that will appeal to institutional investors.
“Our team is excited to support BitGo as it enters into this next phase of growth,” Novogratz added.” — NewsBTC
3. October 2018, GMP Securities L.P. Analyst Deepak Kaushal gave Galaxy Digitial a $7.10 USD price target. He sees Galaxy Digital Holdings Ltd. as the best public market exposure to cryptocurrencies out there.
““We spoke to 20 senior executives at cryptocurrency investment funds, traders, advisors, exchanges and blockchain software companies. Galaxy is widely recognized as a leading brand with strong talent, access to the best deal flow, and a key contributor to the inevitable institutionalization of the sector,” he says.
Kaushal gives Galaxy a $7.10 target price, representing a projected return of 193 per cent.” — CanTechLetter
4. November 2018, “In a bid to advance its investment objectives in the real estate market, US-based asset management company Galaxy Digital Holdings Ltd has announced its hiring of an investment banker and real estate expert, Ian Taylor from US banking giant, Goldman Sachs.
The interest of Galaxy signals the company’s first involvement in asset tokenization, making Novogratz the first member of the crypto community to adopt the 2018 steady tokenization trend.
Asset tokenization is the practice of converting real world assets such as diamonds, gold, paintings, and company stocks to crypto coins and linking their ownership to a particular blockchain so that they can easily be tracked and exchanged.
The practice is becoming more and more popular with the increasing interest in digital investment and the optimism crypto investment has shown in the last few years, especially in moving ‘real world’ assets onto blockchain.
Taylor, an investment banker, works as a real estate expert and will be anticipated to help Galaxy become a fully-functioning real estate tokenization blockchain platform. He’s expected to rejoin Novogratz at Galaxy before the end of the year.” — BitcoinExchangeGuide
“The crypto firm is headquartered in New York but listed on the Toronto Stock Exchange as GLXY.TSXV. Previously reported by Bloomberg, Novogratz recently bought 7.5 million ordinary shares of the TSX Venture Exchange registered company for $7.42 million Canadian Dollars or about $5.5 million U.S. Dollars.
The purchase represents about 2.7% of the outstanding ordinary shares and now leaves Novogratz with 221.2 million ordinary shares, which equates to 80% of GLXY stock. The Bitcoin bull can now influence his company in a big way and raises his already substantial investment in the crypto industry.” — InvestinBlockchain
6. January 2019, “Symbiont.io, a New York-based firm focused on leveraging blockchain technology to improve traditional capital markets, has drawn $20 million in investment. Notably, Symbiont has received funding from giant American investment bank, Citigroup Inc. and Nasdaq Inc., the owner of the world’s second-largest stock exchange.
Nasdaq Ventures, a subsidiary of the $10 trillion exchange operator focused on investing in emerging fintech, is reportedly the lead investor in Symbiont’s series B funding round. Other prominent investors that participated in the series B included Michael Novogratz’s Galaxy Digital Holdings, a company that operates a cryptocurrency merchant bank. Raptor Group Holdings, an investment firm backed by billionaire Jim Pallotta, also took part in Symbiont’s funding round.
Symbiont will use the funds raised to help it develop a platform that will allow users to better manage financial data. This may include information related to syndicated loans, home mortgages, and private equity. Nasdaq’s management team is also reportedly planning to explore different use cases for Symbiont’s Assembly platform. The New York-based exchange operator is currently working with clients who are interested in using smart contracts and tokenized assets.” — CryptoGlobe
7. January 2019, “According to Business Insider, the cryptocurrency bank wants to offer cryptocurrency-collateralized US dollar loans to companies operating in the industry. Anonymous sources reportedly familiar with the project say Galaxy will accept crypto-assets as well as mining hardware as collateral for the loans.
The reports also indicate that Galaxy Digital will close the first round of fundraising for the project in March 2019. Sources say the bank’s asset management arm will be responsible for offering the loans to cryptocurrency firms.
8. March 2019, Crypterium announces Wallet App partnership with BitGo. “We’ve been keeping it a secret for a while to surprise you with a major App update. Now it’s time to tell you what’s new with your favorite wallet.
Most importantly, we are moving to a new backend built in partnership with BitGo, a blockchain security company backed by Goldman Sachs and trusted by market leaders, like Kraken, CME Group and Pantera Capital. And there’s more: we are releasing our first cards, implementing major improvements to the identity verification process, integrating with Top 10 exchanges to get you the best rates on the market, and — we know you’ve been waiting for it — updating our App’s design.
The Cryptocurrency industry or “Crypto-Economy,” has been steadily growing ever since Bitcoin’s inception January 3, 2009. After Bitcoin, came Ethereum and with it; thousands of other Cryptocurrency start-ups or “blockchain projects.”
When Ethereum came about, it was realized that “coins” or “tokens” could be issued to public investors in order to raise capital (through smart contracts). This is when ICOs (initial coin offerings) became the go-to method for raising funds.
By now, many of those projects have been around for years; some of whom will be successful. They’ll disrupt ANY or All industries including but not limited to: Energy (Power Ledger), Agriculture (XY Oracle), Health Care (Patientory), Finance (Galaxy, Pundi X, Tap Coin), Record Keeping, Property Management (Propy), Industrial Operations, and most importantly, Data (Brave, BAT, Bitcoin, Ethereum).
I mentioned industry disruption in an earlier blog. Truth is, blockchain will be involved in EVERYTHING.
As ANY ASSET we own can potentially be “tokenized,” Galaxy Digital is offering institutional investors an easy, regulated, and transparent access point to these new digital asset markets. Think of them as the JPMorgan of Crypto.
Being publicly listed on TSXV, Galaxy is required to report financial information to regulators. This will undoubtedly give institutional investors peace of mind. Galaxy Digital is also the first and only, U.S. Crypto Company to be listed on ANY stock exchange. (I bet they eventually up-list to Nasdaq. *Based on Nasdaq’s investment into Synbiont and the CEO’s positive stance on Crypto.)
“Nasdaq is increasingly dabbling into crypto and blockchain and is expected to launch its Bitcoin futures product later this year. CEO Adena Friedman has also forecast that BTC could become a global currency.” — XBT
Galaxy’s end goal: Maintain and leverage our relationships, so we can move quickly and stay active. Target high-quality digital assets, with an eye to long-term global trends. Invest in the spectrum of digital assets to generate a diverse revenue stream. Employ a strategic risk management framework, and build institutional ability to support unique challenges.
Where you at haters? Oh, I know!
2019 — The year of Asset Tokenization and Institutional Investment!
Go Bulls! It’s our time (again) !!!!!!!!!!