In a twist that surprised some but not others, Galaxy Digital Holdings, led by the charismatic Mike Novogratz, has decided to postpone its plans for an initial public offering (IPO) in the United States. Originally eyeing late 2021 for this major milestone, the firm now has its sights set on the first quarter of 2022.
Why the Delay?
So, what’s the hold-up? According to Novogratz, who is never shy of expressing optimism, the U.S. Securities and Exchange Commission (SEC) has yet to give the green light for Galaxy’s potential listing on American exchanges. It’s almost as if the SEC has a “take your time” policy when it comes to crypto firms seeking listings.
The BitGo Acquisition Saga
In addition to prepping for its U.S. debut, Galaxy Digital is still in the throes of acquiring cryptocurrency custodian BitGo. Initially announced earlier this year, the acquisition is now expected to close alongside Galaxys U.S. listing, making the first quarter of 2022 a pretty crucial timeframe for the firm.
Looking Back at Past Plans
Galaxy Digital first dangled the idea of a U.S. listing back in May with hopes to be public by the second half of 2021. As it seems, the crypto market is filled with “when life gives you lemons” moments, and this one definitely fits that bill. They didn’t immediately respond to requests for comments, possibly busy juggling the SEC paperwork.
Trading Timeline and Financial Health
For those not keeping score, Galaxy Digital is no small fry; it’s one of the largest crypto investment firms globally. The company has been trading on a Canadian exchange since 2018, making its debut on Toronto’s TSX Venture Exchange under the ticker symbol GLXY. Last week marked a significant milestone as their stock surpassed $40 for the first time, and currently sits around $41, marking a slight increase of about 0.2% over the past 24 hours, according to TSX data.
- Stock Trading: GLXY
- Last Week High: $40+
- Current Trading Price: $41
Q3 Financial Results: A Bullish Forecast
Amidst all the uncertainty, Galaxy Digital revealed its Q3 financial results, and let’s just say, it wasn’t all doom and gloom. Their net comprehensive income shot up to $517 million, a stunning leap from just $42 million during the same period last year. Talk about turning lemons into lemonade!
Final Thoughts: What Lies Ahead?
Despite the hiccup with their U.S. listing, Novogratz remains a beacon of positivity, claiming he has “never been more bullish about the future” of Galaxy Digital. As cryptocurrency continues to garner institutional interest, one can’t help but wonder if patience will indeed pay off for Galaxy and its ambitious plans.
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