Galaxy Digital Stock Is Moving Lower Wednesday: What’s Going On?

Galaxy Digital Inc GLXY shares are trading lower Wednesday after the company announced a public offering of common stock.

What Happened: Digital asset and data center infrastructure company Galaxy Digital announced an underwritten offering of 29 million shares. 24.15 million shares are being offered by Galaxy and 4.85 million shares are being offered by selling stockholders. The underwriters also have a 30-day window to purchase up to an additional 4.35 million secondary shares.

Galaxy said it intends to use the net proceeds to finance the continued expansion of its artificial intelligence and high-performance computing infrastructure at its Helios data center campus in West Texas, as well as for general corporate purposes.

Galaxy has traded on the Toronto Stock Exchange and OTC markets since 2020, but the company was just uplisted to the Nasdaq earlier this month. Galaxy was founded by billionaire Mike Novogratz and is reportedly in talks with regulators regarding the tokenization of the company’s stock.

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How To Buy GLXY Stock

By now you’re likely curious about how to participate in the market for Galaxy Digital – be it to purchase shares, or even attempt to bet against the company.

Buying shares is typically done through a brokerage account. You can find a list of possible trading platforms here. Many will allow you to buy “fractional shares,” which allows you to own portions of stock without buying an entire share.

If you’re looking to bet against a company, the process is more complex. You’ll need access to an options trading platform, or a broker who will allow you to “go short” a share of stock by lending you the shares to sell. The process of shorting a stock can be found at this resource. Otherwise, if your broker allows you to trade options, you can either buy a put option, or sell a call option at a strike price above where shares are currently trading – either way it allows you to profit off of the share price decline.

GLXY Price Action: Galaxy Digital shares were down 6.35% at $20.36 at the time of publication Wednesday, according to Benzinga Pro.

Photo: Gorodenkoff/Shutterstock.