According to a press release on Wednesday, Michael Novagratz invested almost $5 million more in his cryptocurrency venture fund, Galaxy Digital Holdings Limited. This purchase increases Novagratz's stake to nearly 80%. Shares of the company traded higher on Wednesday's news.
In November Galaxy Digital reported a net loss of $76.65 million in the third quarter, but Novagratz has remained positive on the space, stating that he believes there will be a transition from investing in cryptocurrency funds to investing in cryptocurrencies themselves in the first quarter of next year. "You'll see that flip next year. That's when prices will start moving again," he stated to the FT.
This news comes as Bakkt reports it's successful first round of funding with Galaxy Digital being one of the partners. According to Bakkt,
"I am pleased to confirm that we have completed our first round of funding of $182.5 million from 12 partners and investors who, like us, believe in the future of digital assets.
The partners and investors in the first round include Boston Consulting Group, CMT Digital, Eagle Seven, Galaxy Digital, Goldfinch Partners, Alan Howard, Horizons Ventures, Intercontinental Exchange, Microsoft’s venture capital arm, M12, Pantera Capital, PayU, the fintech arm of Naspers, and Protocol Ventures. Our work today is centered on driving institutional access for digital assets, along with merchant and consumer uses, and we’re already expanding on this vision, collaborating with great companies like Starbucks in these efforts."