Galaxy Digital, a cryptocurrency brokerage and trading bank founded by billionaire Michael Novogratz, announced Monday that it will be issuing $ 500 million in senior convertible notes to accelerate business initiatives. The debt securities are convertible into corporate equity and bear interest at 3% per annum with a maturity in 2026. New areas of expansion include non-fungible tokens or NFTs, with the company since the beginning of the year.
Over the years, Galaxy Digital’s founder and CEO Mike Novogratz was a famous bullish investor in Bitcoin (BTC) and other cryptocurrencies. He has urged other investors to use between 1% and 5% of their portfolio on crypto. Under his leadership, the company’s assets under management exceeded $ 3 billion in an update released in October, and it has grown to become one of the largest digital currency investment firms in the world.
The company is registered in the Cayman Islands and its shares are listed on the Toronto Canadian Stock Exchange. However, it is in the process of restructuring to list its shares in the US over the next year. The US Securities and Exchange Commission has yet to approve its possible listing.
For the past quarter, Galaxy Digital’s net income from trading, investing, wealth management, crypto mining, and other corporate sources was $ 517.1 million, compared to $ 41.5 million for the year-ago quarter. Shares were up 405.4% year-over-year to $ 23.51 (converted from Canadian dollars) on Monday.
