Galaxy Digital Blames Libra For $68 Million Loss In Q3

Galaxy Digital blames libra for the latest new loss of about $68 million in the third quarter. The popular crypto company suffered from the harsh trading conditions in the crypto markets when Bitcoin dropped by 30 percent since Q2. So let’s find out more in the Libra coin news today.

Most of the assets which are under management approached half a billion dollars and the company is still capable to withstand some similar slides as those that happened in the third quarter. Also, the company is still up by 57 million USD for nine months to September 30 suggesting the extent of the exposure to the market and the performance.

The founder of the company Mike Novogratz told the investors that:

“While the third quarter proved to be another challenging one for the cryptocurrency markets broadly, the teams here at Galaxy Digital continued to make forward progress across each of our three primary operating business lines as well as to conservatively allocate new capital where we saw pockets of clear value in the industry.”

Galaxy Digital blames Libra after the OTC trading desk onboarded 47 percent more counterparties that were compared to the previous quarter despite the desk losing up to 43 million. Novogratz pointed out that the company has a number of positive developments in the operations in these harsh trading conditions:

 “Whether one points to Trading’s OTC market share gains and entry into the structured and derivative product markets, Asset Management’s launch of the new bitcoin funds, Advisory Services’ successful work on two IPOs on the NYSE and Nasdaq, or our Venture and Principal Investment teams’ continued and acute focus on portfolio management and positioning, the second half of 2019 has seen the company leverage our relationships and insights to improve our standing in the digital assets, cryptocurrency and blockchain technology industry.”

Galaxy trashed Facebook’s crypto project Libra suggesting that the stablecoin’s influence on the market sentiment damaged the entire investment ecosystem and even reduced the market activity. Mike Novogratz believes that this could be attributed to several factors including a geopolitical and regulatory uncertainty stemming from Libra as it was reported for months before.