Billionaire Mike Novogratz’s cryptocurrency investment company Galaxy Digital Holdings has recently revealed a loss in the second quarter worth 175.8 million USD.
The number offers a glaring contrast to the company’s first fiscal quarter report that had booked 860 million USD incomplete net profit earlier in the year.
Galaxy Digital revealed its financial results as of 30th of June on Monday, with the company connecting the 175.8 million USD loss in the second fiscal quarter to asset price drops after uncertainty-inducing accounts fuelled the cryptocurrency recession earlier in May.
The report stated that during the quarter, their results were affected by a 34 percent drop in total virtual asset prices and a 41 percent drop in the price of Bitcoin, in relation to the end of the first fiscal quarter.
In a conference call about the second fiscal quarter results, chief and founder Novogratz seemed like he was highly unperturbed by the loss experienced as he instead referred to numerous key metrics, he is otherwise passionate about. These key metrics include top-grade partnerships, counterparty trading volume, and employee recruitments.
The CEO stressed that the company is, despite its loss, still substantially lucrative considering the fact that the first half of this year as net comprehensive income added up to 684 million USD.
He also remarked that asset price drops and market volatility have been counterbalanced by strong adoption tailwinds throughout the entire ecosystem as he referred to Galaxy’s counterparty transaction volumes increased by 90 percent in the second fiscal quarter and 560 percent YoY (or year-over-year). Galaxy Digital’s AUM (assets under management) happened to gain 12 percent from the first fiscal quarter to supersede 1.4 billion USD since the 30th of June.
The second fiscal quarter report also emphasized that gross counterparty loan initiations had grown by upwards of 130 percent since the first fiscal quarter to reach roughly 1.56 billion USD.
Galaxy’s headcount experienced a noticeable gain of 45 percent in the second fiscal quarter to reach approximately 220 employees internationally. The company also mentioned the major “leadership hires” carried out by Tim Grant, the past CEO of SIX Group based in Switzerland, who is set to act as Head of Europe. Former COO of BlackRock Jennifer Lee will be acting as the CPO (or Chief People Officer).