Galaxy Digital Returns to Profit with $31M in Q2 as Bitcoin Holdings Surge to 17,102 BTC

Galaxy Digital reported a net income of $30.7 million for the second quarter of 2025, reversing the $295 million loss recorded in the previous quarter. The digital asset and infrastructure company attributed its recovery to gains in balance sheet holdings and strong performance from its global markets division. The quarter ended with Galaxy’s Bitcoin holdings increasing to 17,102 BTC, valued at approximately $1.95 billion. This marks an addition of 4,272 BTC in Q2, up from 13,704 BTC at the end of Q1, as disclosed in the company’s financial supplement. Galaxy’s total digital assets portfolio, which includes Bitcoin, Ether, USDC, Solana, and XRP, reached a carrying value of $3.56 billion. Bitcoin remains the largest single holding, accounting for over half of the company's fair value-measured assets.

Strong Earnings Backed by Treasury and Market Gains

Adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) came in at $211 million, supported by a $228 million adjusted gross profit from the treasury and corporate segment. Digital assets generated $71.4 million in adjusted gross profit, a 10% increase from the previous quarter. However, adjusted EBITDA in the Digital Assets business remained flat at $13 million due to rising expenses. Mike Novogratz, founder and CEO of Galaxy Digital, expressed optimism, stating, "I couldn’t be more excited. July was, by all accounts, the best month we had at Galaxy. All our businesses are starting to fire on all cylinders." Galaxy’s Global Markets unit saw a 28% quarter-over-quarter jump in adjusted gross profit, totaling $55.4 million. This growth occurred despite a 22% decline in trading volume, as the firm outperformed broader market trends. The average loan book expanded to $1.1 billion, driven by increased demand for margin lending. Conversely, the asset management and infrastructure solutions segment experienced a 26% decline in profit, reflecting slower on-chain activity and reduced staking rewards. Nevertheless, assets under management and stake increased 27% to $9 billion, buoyed by higher crypto prices and fresh inflows.

Operational Milestones and Expansion

Beyond financials, Galaxy Digital achieved significant operational milestones. The company completed the sale of over 80,000 BTC on behalf of a client, one of the largest such deals to date. The Helios data center campus is expanding rapidly, with CoreWeave now committed to the full 800 megawatts of approved capacity. Galaxy also secured an additional 160 acres and a 1 gigawatt interconnection request, positioning Helios for up to 3.5 gigawatts of power capacity. Novogratz remarked, "Helios will be a top five datacenter in the world if we get that built out. I couldn’t be more bullish." In May, Galaxy began trading on Nasdaq under the ticker GLXY following its corporate reorganization.

Frequently Asked Questions (FAQ)

About Galaxy Digital's Financial Performance:

Q: What was Galaxy Digital's net income in Q2 2025? A: Galaxy Digital reported a net income of $30.7 million for the second quarter of 2025. Q: How does this compare to the previous quarter? A: This represents a significant turnaround from the $295 million loss recorded in the previous quarter. Q: What factors contributed to Galaxy Digital's recovery? A: The company attributed its recovery to gains in balance sheet holdings and strong performance from its global markets division. Q: What is Galaxy Digital's adjusted EBITDA? A: Adjusted EBITDA came in at $211 million, supported by a $228 million adjusted gross profit from the treasury and corporate segment. Q: How did the Global Markets unit perform? A: The Global Markets unit saw a 28% quarter-over-quarter jump in adjusted gross profit, totaling $55.4 million, despite a decline in trading volume. Q: What was the performance of the asset management and infrastructure solutions segment? A: This segment experienced a 26% decline in profit due to slower on-chain activity and reduced staking rewards, though assets under management and stake increased by 27%.

Bitcoin Holdings and Digital Assets:

Q: How many Bitcoins does Galaxy Digital hold at the end of Q2 2025? A: Galaxy's Bitcoin holdings increased to 17,102 BTC, valued at approximately $1.95 billion. Q: How much did their Bitcoin holdings increase in Q2? A: They added 4,272 BTC in Q2, increasing from 13,704 BTC at the end of Q1. Q: What is the total value of Galaxy's digital assets portfolio? A: The portfolio, including Bitcoin, Ether, USDC, Solana, and XRP, reached a carrying value of $3.56 billion. Q: What is the largest single holding in Galaxy Digital's portfolio? A: Bitcoin remains the largest single holding, accounting for over half of the company's fair value-measured assets.

Operational Highlights:

Q: What significant client deal did Galaxy Digital complete? A: The company completed the sale of over 80,000 BTC on behalf of a client, one of the largest such deals to date. Q: What is the status of the Helios data center campus? A: The Helios data center campus is expanding rapidly, with CoreWeave committed to the full 800 megawatts of approved capacity. Galaxy also secured additional acreage and a 1 gigawatt interconnection request. Q: When did Galaxy Digital begin trading on Nasdaq? A: Galaxy began trading on Nasdaq in May, following its corporate reorganization.

Crypto Market AI's Take

Galaxy Digital's return to profitability in Q2 2025, driven by strong performance across its divisions and a significant increase in Bitcoin holdings, highlights a positive trend in the digital asset management sector. The company's strategic expansion in areas like data center infrastructure, as seen with the Helios project, demonstrates a commitment to long-term growth beyond just asset trading. This performance aligns with broader market trends where established players are leveraging their expertise to capitalize on the evolving crypto landscape. For investors looking to understand such market movements and AI-driven insights, exploring resources on AI-powered crypto trading strategies can provide valuable context. Additionally, understanding the broader economic factors impacting digital assets is crucial, which can be further explored in our market analysis section.

Galaxy Digital posts 1M profit as Bitcoin holdings climb to 17,102 in Q2