Mike Novogratz's crypto investment bank Galaxy Digital has lost $136 million in the first three quarters of 2018, Bloomberg reports Nov. 28.According to Bloomberg, Galaxy Digital's realized and unrealized losses in Q3 amounted to $41 million, which when combined with the results of previous quarters, amounts to the firm being out $136 million so far this year.
Founded earlier this year, the company explained that the losses were mainly due to tumbling prices of major cryptocurrencies such as Bitcoin, Ripple, and Ethereum.
Galaxy Digital called the lack of crypto trading volumes a "Headwind" to success, while stating that the firm "Continue[s] to improve and strengthen [their] trading business." In addition to low trading volumes, the firm also attributed its recent losses due to increased competition for arbitrage opportunities.
Recently, the Novogratz said that he expects cryptocurrency to "Flip next year," also admitting that the year of 2018 "Has been challenging" for Galaxy Digital.
In an interview with Financial Times, Novogratz predicted that financial institutions will shift from "Investing in cryptocurrency funds to investing in cryptocurrencies proper in the first quarter of next year."
Earlier in November, Novogratz predicted that Bitcoin would surge to as high as "$20,000 or more" in 2019.
In an interview with U.K.-based Financial News, the industry expert stated that Bitcoin can end this year at around $8,900 before "Taking out" $6,800.
The Bitcoin price plunged below the $5,600 threshold for the first time in 2018 on Nov. 14.
Last week, crypto markets declined even further, with Bitcoin dropping below $4,000.
At press time, Bitcoin is trading at $4,160, up 7.85 percent over the past 24 hours in a significant rebound today.
Galaxy Digital Lost $136 Million in the First Three Quarters of 2018
gepubliceerd op Nov 29, 2018
by Cointele | gepubliceerd op Coinage
Coinage
Vermeld in dit artikel
Recent nieuws
Alles zien
Blockchain Bites: Bitcoin's Run, Uniswap's Hemorrhaging Value, Anchorage's Banking Bid
Bitcoin is nearing all-time highs in price and market cap last set three years ago.
Japan's megabanks to lead experiment with digital yen
We have, in order, Cheese Bank with a $3.3 million theft, Akropolis with its $2 million loss, Value DeFi with a whopping $6 million exploit and finally Origin Protocol's loss of $7 million.
Number of new Bitcoin addresses spikes amid growing FOMO
Japan's three largest banks, as part of a group of 30 private sector actors, are set to collaborate on an experiment with a digital yen.
Not just Wall Street: Quant trader explains why Bitcoin price is going up
Sam Trabucco, a quantitative trader at Alameda Research, believes four general factors are pushing up the price of Bitcoin.