tl;dr
Galaxy Digital CEO Mike Novogratz stated that the surge in companies holding crypto assets has likely peaked, shifting focus to strategic positioning for future success. Ethereum hosts two major treasury holders, BitMine and SharpLink, while new entrants may struggle for attention and capital. Galax...
The surge in companies focused on holding crypto assets has likely reached its peak, Galaxy Digital CEO Mike Novogratz revealed during the firm’s Q2 earnings call. Novogratz emphasized that future success will depend on strategic positioning rather than simply accumulating assets. He noted, “We’ve probably gone through peak treasury company issuance,” and now the key question is which existing companies will evolve into dominant players in the space.
Ethereum already hosts two prominent treasury holders—Tom Lee’s BitMine and Joe Lubin’s SharpLink—both expected to continue their growth trajectories. Novogratz cautioned that new entrants may face challenges gaining attention and capital, describing it as having “a harder time getting oxygen.” Galaxy Digital itself collaborates with over 20 crypto treasury firms, managing nearly $2 billion in assets, which generates recurring income streams for the company.
The rise of US-based crypto treasury firms has been supported by improved regulatory conditions. Early adopters often modeled their strategies after MicroStrategy’s Bitcoin-heavy approach, while newcomers have diversified into Ethereum, Solana, and other tokens. Galaxy recently executed what Novogratz described as a "9-plus-billion-dollar trade," possibly one of the largest Bitcoin trades in history, showcasing strong confidence in Galaxy’s market stature and capabilities.
July marked a record month for Galaxy across all business lines, highlighting a period of robust performance. In addition, Galaxy has filed plans to issue tokenized versions of its GLXY Class A common stock via a prospectus supplement, which would provide up to 245 million shares for resale by existing stockholders. Galaxy's shares trade on Nasdaq and the Toronto Stock Exchange under the symbol “GLXY.”
For Q2, Galaxy reported the addition of 4,272 Bitcoins to its holdings, raising the total to 17,102 Bitcoin as of June 30. The company delivered net income of $30.7 million, shareholders’ equity of $2.6 billion, and held $1.2 billion in cash and stablecoins. Furthermore, Galaxy completed sales of over 80,000 Bitcoins on behalf of clients and retains $15 million in XRP tokens, underscoring its diversified crypto asset management approach.