Galaxy Digital, the cryptocurrency-focused firm founded by billionaire Mike Novogratz, has successfully raised $100 million in commitments for an upcoming investment fund, according to individuals with knowledge of the matter. This capital influx originates from a combination of family offices, affluent individual investors, and select institutional participants.
Scheduled to launch in the first quarter of 2026, the new fund is structured to employ strategies that allow it to profit from both increasing and declining asset prices. Such flexibility positions the fund to navigate the cyclical and often volatile crypto markets effectively. While the initial capital commitment stands at $100 million, Galaxy Digital has communicated the possibility of securing further financial backing as the fund progresses towards its start date.
The fund will allocate up to 30% of its portfolio to cryptocurrency tokens, embracing direct digital asset exposure. The remaining portion will be invested in stocks within the financial services sector, thus blending traditional equity investment with cryptocurrency holdings. This diversified approach aims to balance direct market exposure against equities that provide related financial sector leverage.
Galaxy Digital has also committed to seeding the fund with its own capital, though the precise amount remains undisclosed. The firm’s direct investment underscores its confidence in the fund's strategy and its alignment with investor interests.
This initiative highlights Galaxy Digital's broader strategy to deepen its footprint in the crypto asset management space while appealing to a range of investors, including high net-worth individuals and institutional players, by offering structured products designed to capitalize on crypto market dynamics alongside traditional equities.