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U.S. billionaire and former hedge fund manager, Mike Novogratz, is going all in on a new crypto fund.
His digital asset investment firm, Galaxy Digital (NASDAQ: GLXY), is set to launch a $100 million hedge fund in the first quarter of this year, targeting opportunities in the volatile digital assets market.
The firm, which manages roughly $17 billion in digital assets, said the fund will take both long and short positions, aiming to profit from market swings rather than relying solely on price appreciation.
Diversified strategy linking crypto and traditional finance
The hedge fund will invest up to 30% of its portfolio directly in cryptocurrencies, with the remainder focused on financial services companies affected by blockchain, artificial intelligence (AI), and regulatory changes.
Joe Armao, who will oversee the fund, said the strategy is designed to identify both “winning and losing companies” across the digital finance landscape.
Armao added that while the “up only” phase of the crypto market may be ending, Bitcoin (BTC) and other major cryptocurrencies such as Ether (ETH) and Solana (SOL) remain strong long-term plays, especially if the U.S. Federal Reserve continues cutting interest rates.
According to sources familiar with the matter, the Financial Times reported that Galaxy has already received $100 million in commitments from family offices, high-net-worth investors, and a few institutional backers.
The move comes as Bitcoin has dropped roughly 28% from its October peak and is currently trading near $90,000 following a turbulent start to the year.
Galaxy’s renewed hedge fund ambitions
Novogratz originally envisioned Galaxy as a hedge fund when it launched nine years ago, but pivoted toward asset management and investment banking due to market instability.
Galaxy Digital went public on Aug. 1, 2018, becoming one of the earliest publicly traded crypto investment firms.
The company reported $505 million in profit in the third quarter of 2025.
At press time, GLXY was down 1.19% and trading at $31.72.
This article has been published in thestreet.com via Yahoo News.
Billionaire hedge fund manager bets big on new crypto fund
U.S. billionaire and former hedge fund manager, Mike Novogratz, is going all in on a new crypto fund. His digital asset investment firm, Galaxy Digital (NASDAQ: GLXY), is set to launch a $100 million hedge fund in the first quarter of this year, targeting opportunities in the volatile ...
finance.yahoo.com
