Galaxy Digital finalizes US move ahead of planned Nasdaq listing this week, posts $295 million Q1 net loss

Galaxy Digital finalized its U.S. move on Tuesday, with the crypto asset manager and infrastructure firm completing its reorganization ahead of an intended Nasdaq listing this Friday.

Last month, Galaxy announced that the Securities and Exchange Commission had approved its S-4 registration statement for the company's domestication to Delaware from the Cayman Islands — part of its U.S. expansion and Nasdaq listing plans. "This marks an important milestone for Galaxy," founder and CEO Mike Novogratz said at the time.

The company held a special shareholder meeting on May 9, where they voted in favor of the U.S. move. The Toronto Stock Exchange, where Galaxy is currently listed, was also required to approve Galaxy Digital's reorganization and redomiciling to the U.S. Pending final approval by Nasdaq, Galaxy Digital's Class A common stock is expected to begin trading on the major U.S. stock exchange on May 16 under the ticker symbol GLXY.

Q1 earnings hit by crypto downturn and Helios mining exit

Galaxy Digital also reported a net loss of $295 million in the first quarter on Tuesday — a sharp reversal from the prior quarter's $118 million net income. The loss was primarily driven by a decline in digital asset prices during the period, which impacted trading activity and valuations, as well as a $57 million impairment charge and disposal costs tied to the wind-down of mining operations at its Helios data center site, the firm said. 

Gross revenues and gains from operations totaled $12.9 billion, but were nearly offset by $13.1 billion in transaction expenses — a 21% decline quarter-over-quarter. Digital assets generated adjusted gross profit of $64.8 million in Q1, a 36% decline compared to Q4, with operating income from the segment dropping to $3.5 million from $29.4 million. Assets under management and stake also fell 29% quarter-over-quarter to $7 billion.

Despite the weak quarter, the company's balance sheet remained solid, with $1.1 billion in cash and stablecoins, plus equity capital of $1.9 billion as of quarter-end. Additionally, Galaxy continued to build out its infrastructure business, with AI hyperscaler CoreWeave exercising an option to expand its lease at Galaxy's Helios facility, bringing total committed AI/HPC capacity to 393 megawatts, with deliveries expected to begin in 2026.

As of March 31, Galaxy Digital held $908 million in net digital asset exposure — down 37% from Q4. This comprised direct crypto holdings, including bitcoin and ether wrapped tokens, as well as investments in vehicles like bitcoin futures ETFs and Galaxy-sponsored bitcoin funds. It also included $19.6 million in SOL, $21.7 million in TIA, and $53.9 million in SOL and $17.4 million in AVAX via the Galaxy Crypto Vol Fund. Additional exposure came through equity stakes in firms like Ripple Labs.

However, Galaxy Digital switched from reporting under international accounting rules (IFRS) to U.S. Generally Accepted Accounting Principles (GAAP) following its U.S. move. The change aligns with its planned Nasdaq listing but may affect how certain financial metrics are reported, making comparisons to prior quarters less direct. The shift is a standard requirement for companies operating under U.S. regulatory frameworks.