Mike Novogratz's Galaxy Digital suffered a $175 million loss in the second quarter due to a decline in bitcoin

Led by former Goldman Sachs fund manager and billionaire Mike Novogratz, the Galaxy Digital crypto investment company suffered a $ 175.8 million loss last quarter, while simultaneously recording an increase in trading activity and the volume of assets under management. The main reason for this was the sharp fluctuations in the prices of cryptocurrencies. So, from April to the end of June, the crypto market decreased by 34%, and bitcoin-by 41%, the firm notes.
"Although the second quarter was associated with significant volatility and negative macroeconomic factors for short — term results, our key activities, including providing liquidity and executing transactions for clients and counterparties, experienced another quarter of rapid growth consistent with the pace of the spread of the cryptocurrency economy," Novogratz said.
The volume of assets under management of Galaxy by July 31 exceeded $1.6 billion, which corresponds to an increase of 12% for the quarter. Among other things, the company disclosed information about the investment of $52 million in 14 projects from the space of non-interchangeable tokens (NFT). Trading volumes with counterparties increased by more than 90%.
"It is important to remember that the curve of the long — term distribution of cryptocurrencies has a much higher value than the business we are creating," Novogratz continued. – We consider the battle for distribution to be difficult and more financially significant than short-term price fluctuations."