galaxy-digital-gets-initial-approval-for-new-bitcoin-fund-in-canada

Galaxy Digital Gets Initial Approval for New Bitcoin Fund in Canada

Michael Novogratz, founder, CEO and chairman of Galaxy Digital
(CoinDesk archives)

Galaxy Digital Gets Initial Approval for New Bitcoin Fund in Canada

Galaxy Digital, the digital asset manager founded by Mike Novogratz, is to launch a bitcoin fund in Canada.

  • Announced on Monday in a press release, the CI Galaxy Bitcoin Fund is a collaboration with CI Global Asset Management and has had a preliminary prospectus approved by securities regulators for an initial public offering, the firms said.
  • A closed-end investment fund, it will invest directly in bitcoin and will be priced using the Bloomberg Galaxy Bitcoin Index.
  • The firms aim to bring fund investors access to bitcoin via an “institutional-quality” platform.
  • Galaxy Digital will be the sub-advisor for the fund and carry out all bitcoin trading, while CI Global will act as the vehicle’s manager.
  • Last week, Galaxy disclosed it had brought in net income of $44.3 million in Q3 2020, having made a $68.2 million loss in the same period last year. The firm put it down to the rallying bitcoin market.
  • At the same time, it also acquired two digital asset firms, hoping to set itself up as the “go-to” firm for institutional investors.