Bitcoin-Holding Firms May Have Peaked, Says Galaxy CEO
Mike Novogratz of Galaxy Digital suggests the crypto treasury firm boom has peaked, with the future focused on strategic positioning for success.
The surge in companies created to hold crypto assets has probably reached its peak. Galaxy Digital CEO Mike Novogratz warned that future success will depend on strategic positioning rather than simple asset accumulation.
Peak Treasury Issuance Behind Us
Speaking on Galaxy’s Q2 earnings call Tuesday, Novogratz said the proliferation of crypto treasury companies has likely peaked. “We’ve probably gone through peak treasury company issuance,” he stated. “The question now is which of the existing companies will become monsters.”
Ethereum already has two major treasury holders—Tom Lee’s BitMine and Joe Lubin’s SharpLink—both expected to keep growing. New entrants may “have a harder time getting oxygen,” Novogratz warned.
Galaxy Digital collaborates with over 20 crypto treasury firms, earning management fees for overseeing their digital asset holdings. These partnerships have added roughly $2 billion in assets to Galaxy’s platform, generating what Novogratz called “recurring income that will go on and on.”
The rise of US crypto treasury firms has benefited from improved regulatory conditions. Early adopters followed MicroStrategy’s Bitcoin-heavy approach, while newer entrants have diversified into Ethereum, Solana, and other tokens.
Galaxy recently executed what Novogratz called “a 9-plus-billion-dollar trade” that he believes was “the largest or one of the largest Bitcoin trades in history.” The successful execution demonstrated strong market confidence in Galaxy’s brand and services. July marked Galaxy’s best month on record across all business lines.
Tokenized Stock Plans with Strong Q2 Performance
Galaxy has filed plans to issue tokenized versions of its GLXY Class A common stock through a prospectus supplement. The filing relates to up to 245 million shares available for resale by existing stockholders. Galaxy’s stock trades on both the Nasdaq and the Toronto Stock Exchange under the symbol “GLXY.”
Galaxy’s Q2 results showed the company added 4,272 Bitcoins during the quarter, bringing total holdings to 17,102 as of June 30. The firm reported net income of $30.7 million, shareholders’ equity of $2.6 billion, and $1.2 billion in cash and stablecoins. Galaxy also completed sales of over 80,000 Bitcoins on behalf of clients and holds $15 million in XRP tokens.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
How much CPO demand will Nvidia Rubin Ultra generate? Bernstein: Optical value per Pod will increase fivefold
Bernstein believes that the co-packaged optics (CPO) and fiber demand driven by Nvidia's Rubin Ultra architecture will surge significantly, with the optical content per Pod rising from $1 million to $5.4 million. This will propel the size of Nvidia's optical ecosystem market to $46.8 billion by 2028 (a 91% annual increase). Although the industry faces supply bottlenecks with InP substrates, the outlook remains positive. The institution reiterates its “outperform” rating for Lumentum, Coherent, and Ciena.
UBS Q3 implements a two-way strategy with gold options, heavily invests in technology stocks, and builds positions in SK Hynix (SKHY.US)
UBS Group (UBS.US) has submitted its Q3 holdings report (13F) as of September 30, 2026.
SpaceX (SPCX.US) reportedly attempts “de-Nvidiaization” at the rack level: developing Kessel cabinets to bypass L6 compute boards, purchasing only chips
SemiAnalysis: SpaceX has developed its own Kessel cabinet, bypassing Nvidia's L6 cards to provide more options for manufacturing its own hardware.
$3.7 billion “data center power equipment prepayments” abandoned! What did "the most active buyer of gas turbines", SoftBank, see?
In the second quarter of fiscal year 2026, SoftBank reported a net loss of $7.1 billion, primarily due to a $3.7 billion impairment charge from a $9.5 billion advance payment for power generation equipment for US data centers—of which about $2.9 billion was non-refundable and effectively lost. The CFO admitted that SoftBank placed orders before the project plan was finalized, and is now conducting a comprehensive review of its procurement strategy. "The most aggressive purchaser of gas turbines has now written off the deposit in this way."
Crypto prices
More
