New funds provide institutional and accredited investors
access to low-fee, institutionally wrapped bitcoin exposure
NEW YORK, Nov. 19, 2019 /CNW/ - Galaxy Digital Holdings
Ltd. (TSXV: GLXY) announced that its affiliate, Galaxy Digital
Capital Management LP, launched the Galaxy Bitcoin Fund and the
Galaxy Institutional Bitcoin Fund. Both funds are passively managed
vehicles that offer institutional and accredited investors low-fee,
institutionally wrapped bitcoin exposure supported by vetted
service providers.
The Galaxy Bitcoin Fund requires a $25,000 minimum investment and has quarterly
liquidity, whereas the Galaxy Institutional Bitcoin Fund
has weekly liquidity and requires a higher minimum
investment. The funds offer institutionally secure third-party
custody, standard tax documentation, and client service support –
all to provide simplified bitcoin exposure for accredited
investors. Steve Kurz, Head of Asset
Management at Galaxy Digital, will oversee the funds in conjunction
with Portfolio Manager Paul
Cappelli.
"Galaxy continues to have high conviction in bitcoin and has
made significant strides in helping to bring a more
institutionalized footprint to the digital asset
ecosystem," said Mike
Novogratz, CEO and Founder of Galaxy Digital.
"We believe this effort is an important step forward in
fulfilling this mission."
"The Galaxy Bitcoin Funds help accredited investors mitigate the
complexities and risks of managing direct bitcoin investments. The
funds provide investors bitcoin exposure with institutionally
secure third-party custody, best-in-class service providers, and
Galaxy's platform support," said Steve
Kurz, Head of Asset Management at Galaxy Digital.
Bakkt, a digital assets platform founded by the Intercontinental
Exchange (ICE), and Fidelity Digital Assets will act as custodians
for the funds. Bloomberg L.P., which first partnered with Galaxy on
the Bloomberg Galaxy Crypto Index, will be the pricing agent.
Additional service providers supporting the fund include Deloitte
& Touche LLP for audit, Ernst & Young LLP for tax, and
Davis Polk & Wardwell LLP for
legal counsel.
"As institutions and sophisticated investors seek exposure to
digital assets through new investment products, they are seeking
the highest standards in asset security. The Bakkt Warehouse was
designed to offer institutional-grade custody in safeguarding
digital assets and to support the development of the market
alongside products like the Galaxy Bitcoin Funds," said
Kelly Loeffler, CEO of Bakkt.
The addition of the Galaxy Bitcoin Funds builds on the firm's
current offerings, which include the Galaxy Crypto Index Fund and
Galaxy's ecosystem funds.
The Galaxy Crypto Index Fund provides diversified exposure
to the largest, most liquid portion of the cryptocurrency market
with a thoughtful, robust, and rules-based construct. The
fund seeks to track the Bloomberg Galaxy Crypto Index, which
is designed to measure the performance of the largest
cryptocurrencies traded in USD. The ecosystem funds provide crypto
ecosystem participants with premier joint venture
opportunities.
For more information on the Galaxy Bitcoin Funds, visit
www.galaxybitcoinfunds.com.
About Galaxy Digital Capital Management LP
Galaxy Digital Capital Management is a diversified digital asset
management business with over $337
million in AUM as of October 31,
2019. The team has tenured institutional experience managing
third-party capital across traditional and alternative asset
classes, with strong key counterparty relationships and deep
connectivity throughout the blockchain and cryptocurrency
ecosystem.
About Galaxy Digital Holdings
Galaxy Digital Holdings is a diversified, multi-service merchant
bank dedicated to the digital assets and blockchain technology
industry. Galaxy Digital's team has extensive experience spanning
investing, portfolio management, capital markets, operations, asset
management, and blockchain technology. Galaxy Digital currently
operates four distinct business lines, which include: Trading,
Asset Management, Principal Investments and Advisory Services.
Galaxy Digital's CEO and Founder is Michael
Novogratz. The Company is headquartered in New York City, with offices in San Francisco, London, Tokyo, Hong
Kong, the Cayman Islands
(registered office) and New
Jersey. Additional information about the Company's
businesses and products is available on www.galaxydigital.io/.
Disclaimers
Galaxy Digital Capital Management is an affiliate of Galaxy
Digital Holdings Ltd., a company listed on the TSX Venture
Exchange. Neither TSX Venture Exchange nor its Regulation
Services Provider (as that term is defined in policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this press release.
This press release is not an offer to sell or the solicitation
of an offer to sell or buy any security in any jurisdiction where
such an offer or solicitation would be illegal, nor shall there be
any sale of any security in any jurisdiction in which such offer,
solicitation or sale would be unlawful prior to registration or
qualification under the securities laws of that
jurisdiction.
The private placement shares of the Galaxy Bitcoin Funds and the
Galaxy Crypto Index Fund (the "Funds") have not been registered
under the Securities Act of 1933, as amended (the "Securities Act")
or any state securities laws, and the shares are being offered
pursuant to an exemption from registration provided by Rule 506(c)
of Regulation D under the Securities Act and in reliance on similar
exemptions under applicable state laws. An investment in the shares
of the Funds is suitable only for sophisticated, well-informed
investors, and investors will be required to represent that they
are accredited investors as such term is defined in Rule 501(a) of
Regulation D under the Securities Act.
BLOOMBERG is a trademark or service mark of Bloomberg Finance
L.P. GALAXY is a trademark of Galaxy Digital Capital Management.
Bloomberg Finance L.P. and its affiliates (collectively, Bloomberg)
are not affiliated with Galaxy Digital Capital Management, the
Funds and their respective affiliates (collectively, Galaxy).
Bloomberg's association with Galaxy is to act as the administrator
and calculation agent of the CFIX and the Bloomberg Galaxy Crypto
Index (the "Indices"), which are the property of Bloomberg.
Neither Bloomberg nor Galaxy guarantee the timeliness,
accurateness, or completeness of any data or information relating
to the Indices or results to be obtained. Neither Bloomberg nor
Galaxy make any warranty, express or implied, as to the Indices,
any data or values relating thereto or any financial product or
instrument linked to, using as a component thereof or based on the
Indices (Products) or results to be obtained therefrom, and
expressly disclaims all warranties of merchantability and fitness
for a particular purpose with respect thereto. To the maximum
extent allowed by law, Bloomberg, it licensees, Galaxy and its and
their respective employees, contractors, agents, suppliers, and
vendors shall have no liability or responsibility whatsoever for
any injury or damages—whether direct, indirect, consequential,
incidental, punitive, or otherwise—arising in connection with the
Index, any data or values relating thereto or any Products—whether
arising from their negligence or otherwise.
Securities transactions are effected through Galaxy Digital
Advisors LLC, a member of FINRA and SIPC
AUM is inclusive of committed capital in a closed-end vehicle
and preliminary.
All figures are in U.S. dollars unless otherwise noted.
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SOURCE Galaxy Digital Holdings Ltd
