As per the latest reports, Galaxy Digital has made an announcement in regards to holding a successful funding round. Galaxy Digital has one of the largest merchant banks and a cryptocurrency brokerage. Galaxy Digital was reportedly founded by Michael Novogratz, a prominent billionaire investor.
The announcement in regards to the conclusion of the funding round was made by Galaxy Digital on Monday, November 29, 2021. In the announcement, Galaxy Digital has announced that it has successfully raised $500 million worth of funds.
The platform has announced that the funds will be issued in the form of senior notes that will be exchangeable. The purpose of issuing these notes would be to support the projects and operations of the already running business. These funds will be helping the company a lot in expanding its services and coming up with more developments.
Galaxy Digital has announced that the debt it will issue will let the users turn it into company equity. The debt comes with an interest rate of 3% annually. Right after the commencement and issuance of the notes, the notes will achieve their maturity in the year 2026.
Galaxy Digital executives have also revealed, which particular spaces they will be targeting with the help of the funds. The funds will be focused on the expansion of spaces that would mainly deal with the creation and management of nonfungible tokens (NFTs).
The exchange will be extending its support in the form of $62 million worth of funds that it would distribute among 22 companies working in the nonfungible token sector. Galaxy Digital officials have revealed that the funds will be allocated to these firms at the beginning of 2022.
Mike Novogratz was not a cryptocurrency pro since the start. He is among the billionaires who realized the importance and potential of cryptocurrencies at the right time. Since then, he has made the right calls and has been benefitting from those decisions on a large scale.
When it comes to Bitcoin, Novogratz has proven to have the same kind of mindset and bullish sentiments as Michael J. Saylor. Saylor is the CEO of MicroStrategy and he has made several billion worths of investments in acquiring over 100,000 Bitcoin.
Just like MicroStrategy, Galaxy Digital has made its way into the cryptocurrency industry. However, it has done it in the form of exchange and brokerage. Since the launch, the assets under Galaxy Digital’s management have surpassed the $3 billion figure for cryptocurrencies.
Galaxy Digital has now become a firm that is responsible for providing a safe platform to mainstream investors where they can buy and hold their cryptocurrencies.