Galaxy in the US completes first external fundraising fund…$175 million scale

The American cryptocurrency financial company Galaxy has established an external fundraising fund worth $170 million.

On the 26th (local time), U.S. business magazine Fortune reported that Galaxy recently completed the creation of a cryptocurrency venture fund worth $175 million (about ₩240 billion). The fund size is $25 million more than Galaxy's initial target of $150 million. According to Fortune, "this fund marks the first time Galaxy has attracted external capital," and "the fund provides general investors with an opportunity to indirectly invest in a cryptocurrency venture portfolio."

Galaxy established its first external fundraising fund in order to expand investments in stablecoins and decentralized finance (DeFi). Mike Giampapa, Galaxy's general partner, told Fortune, "A fundamental shift is taking place where blockchain use cases are moving from the speculative area to tangible and concrete areas," adding, "We decided to expand our venture business to invest more broadly in startups at the intersection of traditional finance and cryptocurrency, such as stablecoins."

Galaxy's assets under management (AUM) amounted to $7 billion as of last month. Galaxy suffered a net loss of $295 million in the first quarter of this year due to the decline in cryptocurrency prices and other factors. Fortune said, "Although Galaxy went through ups and downs such as investment failure in Luna and legal disputes, it has now grown to become one of the most influential cryptocurrency companies in the U.S."