Galaxy Digital Posts $134M First-Quarter Profit on Strong Showing for Crypto Market
The figure compares with a net losses of $111.7 million in the year-earlier period and $288 million in the fourth quarter.
May 9, 2023 at 12:12 p.m. UTC:format(webp)/cloudfront-us-east-1.images.arcpublishing.com/coindesk/SAUVJMI6KZGLJNBXJE74XT4HRQ.jpg)
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Cryptocurrency-focused financial services firm Galaxy Digital (GLXY) returned to the black in the first quarter for the first time since end-2021 as the crypto market rebounded.
The New York-based company reported $134 million in net income for the three months ended March, compared with net losses of $111.7 million for the equivalent quarter a year ago and $288 million in fourth-quarter 2022.
Following the turbulent 2022, brought to a head by the collapse of crypto exchange FTX in November, the cryptocurrency market has rebounded of this year. The world's largest cryptocurrency, bitcoin (BTC), added around 70% in value for its strongest quarterly performance in two years.
"The income was primarily attributable to gains on digital assets and unrealized gains on investments," Galaxy said in an announcement on Tuesday.
The company's asset-management business, Galaxy Digital Asset Management, or GDAM, recorded assets under management of $2.4 billion, 40% more than in the previous quarter, and 11% less than the $2.7 billion recorded a year ago.
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Jamie Crawley is a CoinDesk news reporter based in London.