Galaxy Digital Posts Quarterly Loss Amid Crypto Market Slump
- Galaxy Digital posted a 482 million dollar Q4 loss, driven by falling digital asset prices.
- The Company’s Full-year losses totaled $241 million, including one-time operating costs.
- By the end of the previous year, the company had $2.6 billion in stablecoins and cash.
Galaxy Digital posted a net loss of $482 million in the fourth quarter of 2025 as falling digital asset prices weighed on results. The firm also reported a $241 million loss for the full year, according to quarterly financial statements released Tuesday. Galaxy said lower cryptocurrency prices and one-time costs drove the losses, even as it reported strong adjusted gross profit and a sizeable cash position.
The company said digital asset depreciation accounted for most fourth-quarter losses. For the full year, Galaxy cited lower prices and about $160 million in one-time costs. Bitcoin fell about 20% during the fourth quarter of 2025, pressuring trading and investment activity.
Shares of the company traded near $22.60 as investors reviewed the results. Revenue reached $10.2 billion, which fell short of the $12 billion analysts expected. Adjusted earnings per share showed a loss of $1.08, compared with forecasts near a $0.99 loss.
Market Pressures and Executive Commentary
Galaxy CEO Michael Novogratz described the market backdrop as difficult during a shareholder update call on Tuesday. “You have the crypto coins — Bitcoin, Ethereum, Solana, you name ‘em — have been in a bear market,” Novogratz said. He added that long market cycles form a core feature of the digital asset sector.
Novogratz said Bitcoin trades near the lower end of its historical range. “I do think that we’re in the lower end of the range,” he told shareholders. He said industry participants often focus and prepare during periods of stress.
The broader market showed mixed movement following a recent crash. Bitcoin lost more than 2.5% in the last 24 hours, while Ether dropped 4.1%. Crypto equities traded slightly negative after earlier gains in pre-market trading.
Balance Sheet Strength and Business Activity
Despite losses, Galaxy reported an adjusted gross profit of $426 million for the full year 2025. The firm ended the year with $2.6 billion in cash and stablecoins. It also reported $12 billion in total platform assets.
Galaxy said its asset management arm recorded $2 billion in net inflows during 2025. The company attributed inflows to demand for diversified trading and advisory services. These services span trading, asset management, and institutional strategy support.
Can a strong balance sheet offset earnings pressure during an extended digital asset downturn? Galaxy pointed to liquidity as protection against market swings. The firm framed its capital position as support for ongoing operations and investment plans.
Related: Galaxy Digital Eyes Liquidity Role in Prediction Markets
Expansion Plans and Sector Comparisons
Galaxy said it continues to advance long-term diversification efforts. In August, the firm accelerated plans for an artificial intelligence data centre in Texas. In January, the Electric Reliability Council of Texas approved an extra 830 megawatts of power.
That approval raised total permitted capacity above 1.6 gigawatts. Galaxy said the project aligns with broader infrastructure expansion goals. The company linked the initiative to future revenue diversification.
Elsewhere in the sector, SoFi Technologies reported $1 billion in fourth-quarter revenue on Friday. Securitize Holdings said revenue rose more than 840% through September 2025. Securitize reported the increase as it prepared for an initial public offering.
