Toronto Stock Exchange Welcomes Galaxy Digital to Their Listing
Galaxy Digital LP is a major cryptocurrency merchant bank in the industry, and they were founded back in 2009 by Michael Novogratz. It unfortunately experienced a loss in the first quarter of the year.
In spite of this seemingly significant problem, the Galaxy Digital LP is optimistic, adding their token to the Canadian-based exchange. This makes it one of the first banks to actually be involved with the TSX, so many investors are waiting to see what will transpire between digital assets and legacy financial. Essentially, these two companies are setting the standards for the rest of the industry.
Novogratz said, in reference to the market:
“If I knew what I know now, knew the crypto markets were going to swoon as much, and it was going to take so long, I might have stayed private for another year or so and then gone public, but I don’t think it’s a mistake.”
The market has not been kind to investors that got in around the end of 2017. With Novogratz’s history as one of the earliest banks that involved crypto, he should be more victorious. Regardless of his reaction, the addition to one of the top ten exchanges in the world (TSX) is still an honor, and Galaxy Digital allows for trading as of August 1st.
Instead of a positive reaction from Novogratz, the adaption is bittersweet. He said:
“There was a surge of companies that listed in Canada and they all traded really poorly. I think the regulators got a little bit more nervous and said, ‘Hey, wait a minute, let’s make sure we know what we’re seeing here.”
The Galaxy Digital platform has gone as far as to take advantage of reverse takeovers to get listed, which is a move that is typically performed by regulators. However, with cryptocurrency, when they manage to get involved, it is worth another look.
According to the managing director of TSX, Brady Fletcher, he said:
“There’s a layer of due diligence that goes into figuring out and understanding the business itself, which probably takes a little bit longer than entrepreneurs like Mike would like it to, but for us that’s how we maintain market integrity.”
TSX has the ninth-largest stock exchange worldwide, and it serves many industries in the Canadian economy. Primarily, the exchange is known for their performance and involvement in oil and gas. There are traditional securities, exchange funds, and other transactions supported.
Unfortunately, there has been intense examination of Galaxy as it was brought onto the exchange, leaving regulators to tear it down as the market fell. However, it seems that Novogratz is well-prepared for the scrutiny, with experience in crypto and in hedge funds. Personally, he is managed to make hundreds of millions with his own trading of Ether and Bitcoin. Despite these delays and downfalls, Galaxy now offers a full range of services for fiat and cryptocurrency, making it a pioneer in the industry.
In a statement to Bloomberg, Novogratz said, “We’re going to be a global company; we want to be globally traded.” Though he aspires to have the company listed in Hong Kong, Frankfurt, and London, the addition to the Canadian exchange is one step in their ongoing progress.