Hassan Maishera
Galaxy Digital To Boost Its Crypto Mining Operation
Galaxy Digital, one of the leading investment firms in the cryptocurrency space, is looking to raise $500 million to fund crypto mining activities. The firm has mostly invested in cryptocurrency companies but could be looking to become actively involved over the coming years.
In a press release yesterday, the firm said it “is pleased to announce that Galaxy Digital Holdings LP has agreed to issue and sell $500 million aggregate principal amount of 3.00% Exchangeable Senior Notes due 2026 to certain purchasers, including affiliates of Arca, NZ Funds, Senator Investment Group and XN in a private placement under the Securities Act of 1933, as amended.”
The firm added that it intends to use the funds to accelerate growth initiatives across its business lines and for general corporate purposes. Galaxy Digital is a registered crypto broker-dealer that has become popular for offering financial services to professional investors looking to enter the crypto space.
Galaxy Digital currently has more than $3 billion in assets under management. The firm has launched numerous cryptocurrency exchange-traded funds (ETFs) in Canada and plans to do the same in the United States.
North America has become the primary destination of cryptocurrency miners after most of them were forced out of China earlier this year. China accounted for most of Bitcoin’s hashrate in the past but the United States took first position for the first time last month after miners flooded into North America.
The cryptocurrency mining companies have been increasing their investment in the region. A lot of them are also committed to using renewable energy to mine cryptocurrencies and reduce the carbon emission around the world.
Bitcoin is currently trading above the $58k level after recovering from the massive loss experienced towards the end of last week.
