Galaxy Digital Lost $175.8 Million: CEO Mike Novogratz Doesn’t Worry
Galaxy Digital Holdings on Monday, August 16, released its financial report for the second quarter of 2021 as of June 30, in which it indicated a loss of $175.8 million.
According to the report, Galaxy Digital suffered such losses due to a 34% drop in total digital asset prices and a 41% drop in Bitcoin rate since the end of the first quarter.
However, during a conference call on Q2 results, Galaxy Digital founder and CEO Mike Novogratz disregarded the loss as he noted several more important aspects. One of such indicators, in his opinion, is the volume of counterparties, partnership with Goldman Sachs, strategic investments and employee engagement.
Novogratz also noted that despite losses in the second quarter, the company remains quite profitable. He said pure comprehensive income for both quarters was $684 million, and Galaxy counterparty trading volumes increased 90% in the second quarter and 560% year-on-year.
“It’s important to remember that when we look at a business, the long-term arc of digital asset adoption in cryptocurrency is much more important than the business we are building. We view the battle to implement as challenging, tougher and more financially significant over time than short-term price fluctuations,” added the CEO of Galaxy Digital.
The report also states that the company was able to boost the volume of loans to counterparties by more than 130% compared to the first quarter, reaching $1.56 billion.
Galaxy staff grew 45% in the second quarter of 2021 to around 220 worldwide.
Among other things, the company has invested $52 million in strategic capital in 14 different NFT-related companies, with direct investments and through Galaxy Interactive Fund strategies.