Mike Novogratz’s Galaxy Digital Loses $134 Million Due to Bitcoin Price Fall

Mike Novogratz’s Galaxy Digital Loses $134 Million Due to Bitcoin Price Fall
Jul 27, 2018 11:19 AM By: Guest Author | 4706 Views

According to CNBC, the digital assets merchant bank Galaxy Digital founded by Mike Novogratz has seen a loss of $134 million with a plunge in the cryptocurrency prices, mainly that of Bitcoin in Q1 of this year. Galaxy Digital is also known for its assistance in digital asset management and principal investments.

Mike Novogratz reportedly stated that he is proud of the way his firm has performed since the starting of the year and has complete trust in his team to drive the firm to growth and success. Additionally, Novogratz said:

“[Galaxy is] …strategically positioned to help further institutionalize the digital assets and blockchain industry.”

Galaxy Digital, opening up for the first time about their financial details, gave a breakdown of the $134 million loss of Q1. The loss is allocated to be $13.5 million on digital assets and $103.3 million on trading. However, the firm has also said that $85.5 million went by ‘unrealized’ on the assets. On the other hand, Bitcoin took a hit of 52% throughout the beginning of this year related to its price in December that went up over $19,000.

As of the end of March, the firm held about $281 million worth assets, out of which, digital assets and investments covered a vast $225.8 million. According to the documents, the founder had put forth a contribution of $302 million of his assets to add into the company.

In a recent interview with Ran NeuNer, Mike Novogratz has seen to have a bullish attitude on the performance of Bitcoin. Despite this, he also admitted that he was not a big fan of investing in Bitcoin in December of the previous year when he had last spoken with NeuNer. Now the economist holds the opinion that Bitcoin has bottomed for the year and will continue to grow in case of an upcoming ETF.

Novogratz is also known to be a former macro trader of the famous financial firm Goldman Sachs and an advocate of the blockchain technology, instead of just vouching for Bitcoin.

Luigi Vampa, a follower on the news of Galaxy’s loss, commented:

“This time will be different, they promise.”

Another Twitter user and news-follower also said:

“POTUS’ staff has him convinced his profile is on bitcoins. He was quoted comparing its value to that loser nickle coin with GW. No mention of the penny, of course–fellow Republican there.”

Dom DiLuigi is also a Twitter user who expressed and said:

“Shocking”

Bitcoin, in the current scenarios, has not only been discussed up by Novogratz but has managed to seek the favorable attention of many. Spencer Bogart, who is the Founder of the blockchain-backed company called Blockchain Capital stated that a wide range of catalysts could push the price of Bitcoin to a new high, namely, ETFs, global trade wars, and suchlike, calling it a ‘tinderbox.’

#Mike Novogratz #Bitcoin Price Fall #Galaxy #Bitcoin Price #Bitcoin #Cryptocurrency prices #Galaxy Digital

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