Novogratz Nets $250 Million for New Crypto Investment Venture

BTC-and-USD
8 February 2018

Billionaire and former Wall Street fund trader Mike Novogratz has reportedly raised $250 million for a cryptocurrency investment venture dubbed Galaxy Digital.

According to Bloomberg, the private placement will enable Novogratz’s new firm to trade and manage cryptocurrency assets, as well as offer consulting to blockchain startups.

A separate report from Taiwan’s Economic Daily News revealed additional details, including the fact that HCM Capital, which is part of the Foxconn Technology Group, is one of the participating investors with an $18 million placement.

The reports indicate other investors are buying Galaxy Digital’s shares through a shell pharmaceutical company, one that will allow Novogratz’s firm to be listed on a Canadian stock exchange without disclosing its financials.

Stepping back, the news is being heralded by the mainstream press as a notable return for the high-profile Wall Street trader, who left Fortress Investment Group in 2015 after the company closed his $2 billion macro fund.

Novogratz has notably been an outspoken figure in cryptocurrency since as early as 2014, frequently appearing at conferences and on TV to praise what he sees as the ongoing innovations in the market.

Disclosure: CoinDesk is a subsidiary of Digital Currency Group, whose investors include HCM.

Bitcoin and U.S. dollar image via CoinDesk archive

This article has been updated for clarity.