Credit/Macro/Crypto Analyst, Former Credit/MA PM

Rose Choy

I have 20 years experience in credit and global macro both sell side (banking and trading) and buy side. Most recently managed multi asset and fixed income strategies. Crypto is my latest focus given huge inefficiencies and lack of quality research and insight. My crypto research will be through a trad-fi lens but with intimate knowledge in the crypto trading ecosystem.

FTX Bails Out BlockFi; Voyager Announces $661M Exposure

Equity Bottom-Up

<ul>
<li>Galaxy reported 2Q earnings this week and revealed a net loss of over $550 million, driven by realized and unrealized losses in both digital assets and investments.</li>
<li>With $1 billion cash, Galaxy is now in “clean up” mode but could deploy cash for potential M&amp;A. Management sounds cautious and favors asset management business over other proprietary segments.</li>
<li>However, the current cost base run-rate looks high and despite undemanding stock valuation, we believe upside is capped.</li>
</ul>


Galaxy reported 2Q earnings this week and revealed a net loss of over $550 million, driven by realized and unrealized losses in both digital assets and investments.
With $1 billion cash, Galaxy is now in “clean up” mode but could deploy cash for potential M&amp;A. Management sounds cautious and favors asset management business over other proprietary segments.
However, the current cost base run-rate looks high and despite undemanding stock valuation, we believe upside is capped.


Revisiting Galaxy Digital Post 2Q Earnings