Galaxy Digital, a major American cryptocurrency company, has completed fundraising for its first venture fund, Galaxy Ventures Fund I LP. The total investment amount reached $175 million, exceeding the initial target of $150 million. The fund is focused on supporting startups operating at the intersection of traditional finance and cryptocurrencies, with particular attention to the segments of stablecoins and DeFi applications.
This is reported by Business • Media
Investment Priorities and Fund Strategy
Galaxy Ventures Fund I LP is the company’s first project to attract external capital, while Galaxy Digital remains the primary limited partner. The company’s general partner, Mike Giampapa, emphasized that the fund will invest in startups developing practical blockchain-based solutions.
“We are witnessing a fundamental shift from speculative use of blockchains to more tangible cases,” said Giampapa.
The fund’s investors include institutional players, such as family offices and funds that are already collaborating with Galaxy Digital in asset management. To date, the company has invested approximately $50 million in projects such as Monad (a trading blockchain network) and Ethena (a stablecoin issuer backed by crypto assets).
Scaling Operations and Integration into the Ecosystem
Previously, Galaxy Digital invested in crypto startups from its own balance sheet, including Fireblocks. However, following the collapse of the FTX exchange in 2022, the company decided to scale its venture arm by opening the door to outside investors in 2024. The first funding round for the fund in July of last year raised $113 million.
Although the fund operates as a separate investment vehicle, it remains integrated into the broader Galaxy Digital ecosystem. This allows for leveraging the company’s network of institutional clients and fostering the development of innovative products.
“We have adhered to the hypothesis from the very beginning of Galaxy: these two worlds—traditional finance and crypto—are colliding,” noted Giampapa.
Galaxy Digital is actively developing several areas, including asset management, crypto trading, mining, and ETFs. In 2024, the company launched a Bitcoin ETF in partnership with Invesco and is considering launching a Solana ETF. Despite the first quarter of 2025 ending with a loss of $295 million, the company manages approximately $7 billion in assets.
Additionally, it is worth noting that the U.S. Securities and Exchange Commission recently approved the listing of Galaxy Digital’s shares on the Nasdaq exchange, underscoring confidence in the company in the capital markets.