Galaxy Digital Holdings Ltd

On August 25, Galaxy Digital, a U.S. company, launched the "Crypto Portfolio Line of Credit (PLOC)" on its retail platform GalaxyOne. Eligible U.S. customers can borrow cash against Bitcoin (BTC), Ethereum (ETH), and Solana (SOL, including staked) as collateral without selling any of their holdings. The key feature is that instead of taking out separate loans for each asset, the three holdings are combined into a single revolving credit line. There is no origination fee, the interest rate is 8.99% (variable), and the loan-to-value (LTV) ratio is 50%, allowing a borrower to take out about $50,000 against a $100,000 portfolio. Loans are typically funded instantly and can be withdrawn in U.S. dollars or USDC. The collateral is not rehypothecated, and staked SOL continues to earn rewards. The service is available in 40 states, excluding nine states including California. Zac Prince, who leads GalaxyOne, is a co-founder of BlockFi, which went bankrupt in 2022, and the design of operating on a regulated in-house platform rather than external DeFi protocols reflects lessons learned from that experience. This marks the entry of a Nasdaq-listed company with institutional-grade infrastructure into a field already occupied by Ledn, Coinbase, and Nexo. In Japan, Fintertech, a joint venture between Daiwa Securities Group and Credit Saison, offers "digital asset-backed loans." While the terms differ—collateral limited to BTC and ETH, an LTV of 50%, an effective annual rate of 4.0% to 8.0%, and loan amounts ranging from 5 million yen to 500 million yen—the concept of "raising funds without selling" is the same. Currently, the maximum tax on capital gains from selling crypto assets in Japan is 55%, with the 20% separate self-assessment taxation expected to apply from 2028 onward. In the meantime, demand for collateralized loans is likely to continue.

Galaxy Digital has launched a crypto-backed portfolio line of credit on its GalaxyOne platform, allowing eligible U.S. clients to borrow against Bitcoin, Ethereum, and Solana without selling their holdings. The revolving credit line combines eligible BTC, ETH, and SOL under one facility, with staked SOL usable as collateral without unstaking, and carries no origination fee with a variable 8.99% annual percentage rate. Lines begin at a 50% loan-to-value ratio with interest-only monthly payments and funding typically available instantly in U.S. dollars or USDC. Collateral is not rehypothecated, and the product is initially available to eligible clients in 40 U.S. states. The launch expands GalaxyOne beyond trading and investment access into consumer lending.

Moderna delivered one of the largest single-session moves for an S&P 500 company, closing 177% higher at $174.38 on Wednesday after reporting positive late-stage data for its personalized cancer vaccine. The stock pulled back over 23% on Thursday before adding more than 10% so far on Friday, leaving it on course for a gain of around 135% over the week. The Phase 3 trial evaluated Moderna's intismeran alongside Merck's Keytruda in advanced skin cancer, and met its primary goal of recurrence-free survival, with a key secondary endpoint on distant metastasis-free survival also met and no new safety signal reported. Crypto-exposed equities rallied hard this week after bitcoin surged on the U.S. Treasury's decision to at least double the size of its long-dated bond buyback operations, alongside supportive comments on the sector from President Donald Trump. The Treasury raised the maximum per-operation size from $2 billion to at least $4 billion for the 10-to-20-year and 20-to-30-year sectors, effective Sept. 9 through Nov. 4. Bitcoin is currently above $77,000, having hit a high of $79,461 earlier in Friday's session. As a result, Strategy has risen 25.9% over the week, with Marathon Digital up 22.5%, Coinbase 23.1% higher, Circle up 16.3%, Galaxy Digital 12.3% higher and Robinhood up 9.7%. The same Treasury announcement also lifted metals producers, with the dollar weakening and precious metal prices moving higher. Agnico Eagle leads the group so far on Friday with an 18.4% gain over the week, followed by Barrick at 15%, Freeport-McMoRan up 14% and Newmont 13.3% higher. The dollar has declined, with spot gold gaining more than 2% on Friday and over 6% in the past week. Estée Lauder jumped more than 16% on Wednesday and is set to finish the week up around 15.9% after fourth-quarter results came in ahead of expectations. Sales rose 6%, beating consensus of 4%, while adjusted earnings of $0.39 per share topped the $0.32 expected. Management pointed to share gains in mainland China and growth across all product categories except hair care, alongside continued progress on cost-cutting through its One ELC initiative and Profit Recovery and Growth Plan. Canaccord analyst Susan Anderson raised her price target for the stock to $90 from $85, maintaining a Hold rating following the release. Walmart is the week's notable loser, sinking 9.2% on Thursday and down a further 0.9% so far on Friday after second-quarter results that beat on the headline numbers but disappointed on the metric that mattered most. Comparable sales at Walmart-only U.S. stores excluding gas grew 2.6%, well short of the 3.67% consensus and the slowest U.S. sales growth in six years. Mizuho analyst David Bellinger described the outcome as a worst-case scenario, calling it a very messy print and one of the biggest misses in years from the retailer.

Crypto-linked stocks rallied Friday as Bitcoin extended its climb to levels not seen since late May, after President Trump called on lawmakers to pass clear regulatory rules for digital assets. In U.S. premarket trading, Strategy was up 10.2%, Coinbase rose 6.8%, and Circle Internet Group added 6.4%, while MARA Holdings climbed 5.4%, Galaxy Digital rose 5%, Robinhood Markets gained 4.7%, Hut 8 advanced 2.4%, and Riot Platforms rose 3.7%. Bitcoin jumped 8.9% to $78,135.60, briefly touching an intraday high of $79,600.60, breaking out of the roughly $60,000-to-$70,000 range that held for most of 2026. The rally was also supported by a broader lift in risk appetite after the U.S. Treasury Department said it would double its bond buybacks in an effort to contain rising yields, following a sharp bond selloff that drove the 30-year yield to its highest level since 2007. The advance was set in motion earlier this week when Trump, speaking at a White House summit, urged Congress to advance the Clarity Act, closely watched legislation aimed at establishing a regulatory framework for the U.S. crypto industry, though it remains unclear when, or if, the bill will pass.

Bank Leumi le-Israel B.M has announced a partnership with Galaxy Digital to offer digital asset trading to retail customers through its Leumi Trade and PEPPER platforms. The announcement follows second quarter results and a larger dividend and buyback announcement, with the stock returning 5.37% over 30 days and 22.36% over one year. Based on the most followed narrative, the bank has a fair value estimate of ₪82.65 compared with the last close of ₪75.92, suggesting the stock is 8.1% undervalued. The bank's cost to income ratio improved to 27% in Q3 2025, supported by advanced technology and high digital adoption by nearly 90% of private customers. Potential risks include Bank of Israel rate cuts and higher bank taxes that could pressure margins.

In the second quarter, JPMorgan increased its holdings in BlackRock's Bitcoin ETF by about 25 percent and expanded its Ethereum ETF position more than fourfold. According to filings with the SEC, it held about 10.4 million shares of the iShares Bitcoin Trust ETF, valued at about 356 million dollars, and increased its iShares Ethereum Trust ETF position to about 1.17 million shares. It also reported new positions in Grayscale and Bitwise XRP-related products, while reducing positions in several Bitcoin mining stocks. Bank Leumi, Israel's largest bank, plans to partner with Galaxy Digital to offer trading services in Bitcoin, Ethereum, and Solana to customers starting in early 2027.

Galaxy Digital CEO Mike Novogratz says the U.S. government's massive spending shortfalls are a key reason for his ongoing optimism on Bitcoin. He points to a growing national debt and continued deficit spending as factors that could drive more investors toward the cryptocurrency as a store of value. Novogratz has long argued that Bitcoin serves as a hedge against fiscal and monetary policy excess. His comments come as Bitcoin's price remains volatile amid broader macroeconomic uncertainty.

Bank of New York Mellon Corporation completed three senior unsecured variable-rate note offerings totaling US$2.50 billion in early August 2026, with maturities in 2030 and 2034, and announced a digital asset custody and staking collaboration with Galaxy Digital Inc. The note issuance strengthens funding flexibility, while the Galaxy Digital partnership extends BNY's digital asset custody platform into staking, integrating with existing services like custody, fund accounting and tax reporting. The collaboration aligns with BNY's push to enhance its NEXEN and digital operating model, which investors see as central to unlocking operating leverage. BNY's narrative projects $24.4 billion revenue and $7.4 billion earnings by 2029, requiring 4.4% yearly revenue growth and a $1.4 billion earnings increase from $6.0 billion today. Simply Wall St community members place BNY's fair value between US$147.50 and US$166.21.

Galaxy Digital held its Second Quarter 2026 earnings call on Wednesday, August 5, 2026, reporting a GAAP net loss of $85 million, or $0.09 per share, and firm-wide adjusted EBITDA of negative $77 million. Founder and CEO Michael Novogratz called the quarter transformational, highlighting the on-schedule, on-budget delivery of Phase I at the Helios data center, which brought the first 133 megawatts of critical IT to CoreWeave and generated $20 million of adjusted gross profit and $11 million of adjusted EBITDA for the data center segment. The company also completed a $3.5 billion high-yield financing, the largest in its history, to fund Phase II of Helios, and acquired three new data center sites in Texas, bringing its development pipeline to more than 5.7 gigawatts of potential power capacity. In digital assets, Galaxy signed a multiyear agreement with Bank of New York to serve as a design partner for digital asset infrastructure, launched the Galaxy Onchain Financing Rate product with nearly $300 million of loan originations, and reported adjusted gross profit of $66 million in its Digital Asset segment, up 34% quarter-over-quarter despite a double-digit decline in crypto prices. The company ended the quarter with $10.8 billion in total assets, $2.7 billion in total equity, and $2.5 billion in cash and stablecoins.

Rosenblatt Securities reiterated its Buy rating and $35 price target on Galaxy Digital, implying 74% upside from the note's $20.13 reference price. Analyst Chris Brendler said Helios Phase I's completion and a pipeline exceeding 5.7 GW reduced execution risk around Galaxy's data-center strategy. Rosenblatt raised its third-quarter revenue estimate to $7.81 billion from $6.66 billion but cut adjusted EBITDA to $15.6 million from $68 million. Its full-year 2026 adjusted EBITDA forecast fell to a $236.4 million loss from a $300,000 loss, while the 2027 estimate increased to $273.7 million from $272.2 million. The revised outlook followed Galaxy's second-quarter results, which included an $85 million net loss and a $77 million adjusted EBITDA loss, with the Data Centers segment generating $26 million of revenue and $11.5 million of adjusted EBITDA during its first revenue-producing quarter.

Sharplink and Galaxy Digital have jointly launched the Galaxy Sharplink Onchain Yield Fund, a first-of-its-kind institutional vehicle with $125 million in committed capital. The fund, managed by Galaxy, includes $100 million backed by Sharplink’s staked ETH treasury and $25 million from Galaxy. It aims to deploy capital into onchain yield strategies and identified investments, marking a new model for corporate treasuries seeking risk-managed returns. Galaxy brings institutional experience and rigorous risk controls, while Sharplink views the fund as a disciplined allocation to make its ETH treasury more productive. The launch deepens the partnership between the two firms and adds the first institutional-grade, scaled onchain strategy to Galaxy’s asset management platform.

Wells Fargo and The Bank of New York Mellon are expanding their digital asset capabilities beyond traditional crypto custody. Wells Fargo has announced tokenized deposits for corporate clients to enable real-time on-chain payments and settlements, while BNY has partnered with Galaxy Digital to add staking to its Digital Asset Custody platform, subject to regulatory approval. Wells Fargo is also participating in a shared tokenized deposit network with JPMorgan, Bank of America and Citigroup through The Clearing House, aimed at enabling 24/7 blockchain-based payments and cross-border settlements. BNY's collaboration builds on its June 2026 partnership expansion with Circle Internet Group to support USDC on its custody platform. Although these initiatives are unlikely to materially affect near-term financial performance, they demonstrate the banks' commitment to evolving alongside changing market dynamics and could support long-term growth.

Galaxy Digital and BNY have partnered on a crypto staking service for institutional investors. The service integrates staking functionality into BNY's custody infrastructure, allowing clients to earn rewards without moving assets out of custody. As of June 30, 2026, BNY is one of the world's largest custodians, with 62.6 trillion dollars in assets under custody and administration. Through this partnership, BNY expands into staking integrated with fund accounting and tax reporting. Galaxy will provide the staking infrastructure and serve as a design partner for BNY's platform. However, the launch is subject to regulatory approval, and the start date and supported assets have not been disclosed. In the United States, an interpretive letter from the Office of the Comptroller of the Currency in March 2025 permitted banks to engage in crypto custody and node verification, encouraging major banks to enter the space. In contrast, in Japan, banks are restricted from directly conducting crypto asset business, and integrated custody and reward services for institutional investors remain undeveloped.

Galaxy Digital has pledged up to $5 million to defend Bitcoin against future quantum computers that could crack its digital signature algorithm. The threat centers on the elliptic curve digital signature algorithm used to prove ownership, which a sufficiently powerful quantum computer could exploit to recover private keys from public wallet details. About a third of all Bitcoin already has its public key exposed on the chain, and estimates for when such a computer might exist range from five to 40 years. The main obstacles to mitigating the threat are social and organizational, as Bitcoin Improvement Proposals like BIP-360 and the controversial BIP-361 face challenges in achieving developer consensus.

Digital asset insurance provider Soter Insure has completed the first close of its Series B funding round, led by Galaxy Digital. Coinbase Ventures and Franklin Templeton joined as new investors, while Brevan Howard Digital and other existing investors continued their support. A second close is expected in the coming weeks, and when completed the Series B round will bring Soter Insure's total funding to Dh86.3 million, alongside more than 500 Bitcoin and 2,000 Ethereum. The capital will support growth plans including underwriting and technology development and expansion in core markets. Soter Insure is headquartered in Abu Dhabi and operates from Bermuda, with additional offices in London, New York and Dubai.

Galaxy Digital announced that its subsidiary Galaxy Helios Data Centers II LLC has priced a $3.507 billion private offering of 9.875 percent senior secured notes due 2031. The net proceeds will finance part of the development and construction of two buildings containing eight data halls with a combined total of 400 megawatts of utility capacity and 260 megawatts of critical IT capacity on an approximately 260-acre property in Dickens County, Texas, and to fund debt service reserves. The notes bear interest at 9.875 percent per annum payable semiannually in cash in arrears on February 1 and August 1 of each year beginning in 2027, and mature on August 1, 2031. They are fully and unconditionally guaranteed by Galaxy Helios II LLC and secured by first-priority liens on substantially all assets of the issuer and the guarantor, excluding certain property and all equity interests of the issuer held by its direct parent. The offering is expected to close on July 28.

Galaxy Digital is planning to sell $3.5 billion of junk bonds to fund the expansion of its Helios artificial intelligence data centre in Dickens County, Texas. The company will use proceeds from its first high-yield debt offering to finance growth of the campus, which has regulatory approval for up to 1.6 gigawatts of power dedicated to AI and high-performance computing. Earlier in July, Galaxy Digital announced that CoreWeave had signed a 15-year lease for computing capacity at the site, a contract expected to generate more than $1 billion in annual revenue. The first phase of the Helios project is already complete, with construction on the next phase set to begin in 2027. Galaxy Digital joins other AI infrastructure developers tapping the US high-yield market, where such offerings have already raised $28 billion this year according to Bloomberg data.

US digital asset firm Galaxy Digital announced on July 16 the launch of Galaxy Curator, a DeFi management support service for institutional investors. The service enables institutions and corporations to lend their stablecoins through the DeFi protocol Morpho to earn yield. As of July, Morpho holds over 13 billion dollars in deposits and is used by Coinbase, Kraken, Binance, and others. With Galaxy Curator, Galaxy selects lending markets on Morpho and handles capital allocation and risk management, while assets remain managed on Morpho, so users do not need to transfer asset control to Galaxy. Access requires Fireblocks Earn, part of the institutional digital asset platform Fireblocks, allowing over 2,400 institutional clients to participate while maintaining their existing approval flows and policy controls. Two strategies are offered: a low-risk type using major crypto assets as collateral, and a higher-yield type with broader collateral. As of July 17, the low-risk type offers net yields of 3.38 percent annually for USDC and 3.09 percent for USDT.

Bitmine Immersion Technologies has purchased an additional 20,500 Ether for 35.92 million dollars through Galaxy Digital, bringing its total Ethereum holdings to approximately 5.74 million ETH, or about 4.8% of the altcoin's circulating supply. The acquisition follows a purchase of 40,000 ETH worth 71.6 million dollars just one day earlier through FalconX and Kraken. Most of Bitmine's Ethereum is staked, generating yield while maintaining long-term exposure. Bitmine stock closed roughly 2% higher at around 14.98 dollars, while Ethereum gained nearly 3% to about 1,792 dollars.

Rosenblatt Securities analyst Chris Brendler said the recent selloff in high-performance computing-linked stocks was overdone, creating a buying opportunity in Galaxy Digital and Cipher Digital. Galaxy Digital had fallen 22% over the prior two weeks while Cipher Digital dropped 13% as of the note's publication on July 2. The selloff intensified after a July 1 Bloomberg report that Meta Platforms was building a cloud operation aimed at outside customers, raising concern it could become a competitor in the neocloud stack. Brendler dismissed the fear, writing that the firm does not view the Meta news as a negative demand signal and pointing to a colleague's assessment that the story appeared company-specific with no indication of a shift in contracted demand. He highlighted Galaxy Digital's direct exposure to CoreWeave, with its Helios data center campus expanding the partnership by an additional 133 megawatts of critical IT load, leaving CoreWeave committed to the site's entire 800-megawatt gross-power approval. On Cipher Digital, Brendler said the pullback widened a persistent valuation disparity and framed the decline as a cheaper entry into the miner-to-HPC pivot theme without signaling deteriorating fundamentals.