Galaxy Digital, which recently began trading on the Nasdaq, told the U.S. Securities and Exchange Commission it is exploring the tokenization of its own shares and has engaged Superstate Services, a registered agent, to potentially help manage the initiative, according to a filing from Tuesday.
“We are evaluating the feasibility of tokenizing our Class A common stock,” Galaxy Digital said in an SEC filing. “Tokenized GLXY would provide an additional mechanism for investors to hold and trade shares in the company.”
Galaxy Digital (ticker GLXY), which is run by billionaire CEO Mike Novogratz, went on to say that in May it “entered into a Digital Transfer Agency Agreement with Superstate Services” as its digital asset transfer agent. Superstate Services is the SEC-registered transfer agent for the real-world assets (RWAs) platform Superstate.
Novogratz said in May his company was interested in turning Galaxy Digital “shares into tokens that could be used in decentralized-finance applications, such as lending and trading.”
Also in May, Superstate, which was previously best known for its suite of tokenized private funds including USTB and USCC, launched Opening Bell, a platform that enables the trading of SEC-registered shares onchain.
Thought leaders from both the digital assets industry and from the world of traditional finance see the tokenization of U.S. equities as a major growth area worth possibly trillions of dollars. Tokenized stock trading happens 24/7 and is oftentimes open to non-U.S.-based traders, unlocking the potential for added volume.
“The market for tokenized securities is nascent, and there can be no assurance that a liquid or orderly market for tokenized GLXY will develop or be sustained,” Galaxy Digital said in its filing. “Blockchain-based mechanisms, like decentralized exchanges, may have significantly less liquidity, volume, transparency or regulatory oversight compared to national securities exchanges, such as Nasdaq.”
Galaxy Earnings
Galaxy Digital also reported its second-quarter earnings on Tuesday, posting revenue of $8.7 million, which was relatively flat year-on-year. The report didn’t show a straight revenue comparison showing the difference between this year’s second quarter and first quarter. The company did say, however, that its “Gross Revenues & Gains” dropped 30% when compared to the previous quarter.
Galaxy Digital’s total assets slid by 43% to $6.3 billion in the second quarter, but the company executed the sale of “over 80,000 bitcoin on behalf of a client, representing one of the largest notional bitcoin transactions in the history of digital assets,” the company said.
The company registered a positive net income result of $30.7 million after reporting losses both during the previous quarter and in the year-ago period.
Galaxy Digital shares declined 9%, trading hands at $26.26 as of 11:13 a.m. ET on Tuesday, according to TradingView data. The company has a market cap of around $10 billion, according to The Block’s GLXY price data.
© 2025 The Block. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
Trade Crypto On Coinhub Exchange
Trade Crypto On Coinhub Exchange
Stay ahead of the market by turning news insights into trading opportunities. With Coinhub Exchange, you can seamlessly buy, sell, and manage your digital assets, all in one secure platform. Take advantage of real-time market insights, deep liquidity, and fast execution for your favorite cryptocurrencies. Don’t just read about it — trade crypto now!
Disclaimer
The content of this article shown by Coinhub News, powered by The Block, is for informational purposes only and should not be construed as financial, legal, tax, or investment advice. Coinhub News and its affiliates are not a licensed financial advisor, legal advisor, broker, or tax advisor, and ... should not be considered as professional advice or a recommendation to engage in any specific investment, legal decision, or financial transaction. Cryptocurrency markets are highly speculative and volatile. Readers should perform their own independent research and consult with a qualified professional before making any financial or legal decisions. The opinions expressed in this article are those of the author and do not necessarily represent the views or opinions of the Company of its affiliates. Additionally, the Company does not make any representations or warranties regarding the accuracy, timeliness, reliability, or completeness of any information in this article. By accessing this content, you acknowledge that any reliance on the information contained in this article is solely at your own risk. The Company is not responsible for any financial losses, legal disputes, or other damages that may arise from reliance on this content or from any investment or legal decisions based on the information provided. Investing in cryptocurrencies involves substantial risks, including the risk of losing your entire investment, and you should carefully consider whether it is appropriate for your circumstances.
Read more
