Losses Galaxy Digital, a bank founded by Mike Novogratz and dedicated to cryptosupplies and companies specializing in blocking, amounted to $ 136 million during the first nine months of this year.
According to the information supplied by the company In the account statement, the negative baling results of Galaxy Digitale continued in the third quarter of 2018, when net losses in digital assets reached $ 41 million. It's about that a trend that began in the first quarter of this year, after the fall cryptoscope prices after the end of 2017.
The latest negative results are mostly the result low amounts of cryptoactive exchange and increased competition for arbitration options, according to company statements.
The company also points out that the losses are accentuated by the massive sales of cryptoactives such as ether (ETH), which amounted to $ 22.1 million; Bitcoin (BTC), which amounted to $ 9.7 million; and Ripple (XRP), which amounted to $ 2.6 million.
He added that the share price of the company also reached a record drop after 55 percent fell this month. This balance is calculated earlier the crawling of the market, this November, and it is likely that the downturn trend will be pronounced by the end of the year.
Galaxy Digital is partially owned by Galaxy Digital Holdings Ltd, headed by Mike Novogratz, a former Goldman Sachs partner and hedge fund manager who founded the company in November 2017. Digital assets of the bank quoted on the Toronto Stock Exchange, Canada, and therefore you must regularly publish your detailed financial reports. In this regard, the company said that despite the efforts to improve and strengthen commercial business, the lack of global business volume trading in cryptic currencies It has become an obstacle.
The bank was hit hard in early 2018, therefore Novogratz had to invest about $ 302 million in assets. On February 7, the Bank agreed to a $ 100m loan to fund its business and make investments. On March 31, money and equity amounted to $ 41.8 million, or $ 169.7 million.
Despite these shortcomings, Novogratz remains optimistic and expects the state of the ecosystem to improve in the first quarter of 2019. The opening of projects related to the cryptowners sector in the area of traditional finance is not new. An example is the case Jeff Sprecher, Executive Director and President of the Intercontinental Exchange (ICE) and owner of New York Stock Exchange, who recently dared to enter the launch ecosystem Bakkt.
A similar plan promotes the Fidelity Financial Services Company, which announced last October a custodial and guardianship project for the institutions that will be invited Fidelity Digital Assets, who probably available in 2019.
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