- Galaxy Digital (GLXY) debuted on the Nasdaq, opening at $23.50 per share and rising over 12% to $34.25, following a four-year, $25 million regulatory battle with the SEC.
- Mike Novogratz highlighted Galaxy’s dual focus on cryptocurrency and AI infrastructure, positioning the firm to capitalize on institutional crypto adoption and growing demand for data centers.
- The direct listing, transitioning from the Toronto Stock Exchange, enhances Galaxy’s U.S. market visibility, following eToro’s (ETOR) recent Nasdaq debut and signaling renewed investor interest in crypto-adjacent firms.
Galaxy Digital (GLXY), the cryptocurrency and digital asset firm led by Mike Novogratz, made its highly anticipated Nasdaq debut on Friday, opening at $23.50 per share and surging over 12% to $34.25, reflecting strong investor enthusiasm for its dual focus on crypto and artificial intelligence. The direct listing, a milestone following a four-year, $25 million regulatory saga with the U.S. Securities and Exchange Commission, marks a shift from its prior trading on the Toronto Stock Exchange since 2020. Novogratz, speaking on CNBC’s “Squawk Box,” emphasized that the grueling process, which spanned 1,320 days and nine rounds of SEC comments, far exceeded the typical 90-day timeline, requiring significant capital and resilience. He underscored the strategic importance of the U.S. market, noting that Galaxy’s visibility in Canada was a mere one-thirtieth of its potential in the U.S., positioning the Nasdaq listing as a catalyst for growth.
The company’s value proposition, as articulated by Novogratz, rests on its unique positioning in two high-growth sectors: cryptocurrency and AI infrastructure. Describing Galaxy as effectively two businesses – a crypto firm and a data center company—Novogratz highlighted its readiness to capitalize on institutional adoption of digital assets and the surging demand for AI -driven computing power. This strategic pivot aligns with Galaxy’s partnerships, such as its collaboration with cloud-computing firm CoreWeave (CRWV) to expand data center capacity for AI and high-performance computing, a move expected to generate significant revenue by 2026. The Nasdaq listing enhances Galaxy’s access to U.S. capital markets, boosting its profile and facilitating faster growth, as Novogratz noted during the company’s Q1 2025 earnings call. The debut follows eToro’s successful Nasdaq listing earlier in the week, signaling a thawing of regulatory caution and renewed investor appetite for crypto-adjacent firms amid a maturing digital asset ecosystem.
Galaxy’s journey to the Nasdaq underscores the evolving landscape for cryptocurrency firms seeking mainstream financial integration. The firm’s ability to navigate a costly and protracted SEC process, which Novogratz described as requiring a “big, strong company,” reflects the high barriers to entry for crypto enterprises in the U.S. Despite a reported $295 million net loss in Q1 2025, driven by digital asset price declines and a mining-related impairment charge, Galaxy’s stock performance on debut suggests investor confidence in its long-term vision. The transition to U.S. GAAP and operational streamlining, as part of its U.S. redomiciliation, further enhances financial transparency, positioning Galaxy to attract a broader investor base. With the stock climbing to $34.25, Galaxy Digital stands at a pivotal juncture, leveraging its Nasdaq platform to bridge crypto and AI innovation with traditional finance.
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