Galaxy Digital has officially begun trading on the Nasdaq stock exchange as of May 16, 2025, marking a significant milestone after a prolonged and challenging process. CEO Michael Novogratz expressed frustrations over the journey, while emphasizing the company's forward-looking initiatives.
Concurrently, Galaxy Digital is actively engaged with the U.S. Securities and Exchange Commission (SEC) to tokenize its equity shares. This pioneering move aims to bridge traditional finance and blockchain technology by creating tokenized stocks that could operate within decentralized finance (DeFi) applications such as lending and borrowing.
This tokenization effort positions Galaxy Digital as a leading innovator at the intersection of blockchain and mainstream financial infrastructure. With around $7 billion in assets under management, Galaxy's approach signals growing institutional interest and regulatory cooperation in crypto asset innovation.
Galaxy Digital's history includes experimental tokenization, such as fractionalizing unique assets like a 316-year-old Stradivarius violin. These precedents demonstrate the practical benefits of blockchain-based asset management and frame the potential for broader adoption of tokenized financial instruments.
Real-world asset (RWA) tokenization is gaining momentum, though it currently represents a modest fraction of the overall market cap valued at approximately $22.5 billion, still small compared to giants like Bitcoin (BTC). The sector nonetheless experienced over 100% growth in the past year, underlining its rapid evolution.
Additionally, other crypto firms—such as Metaplanet, Circle, Kraken, Gemini, and recently eToro—are exploring U.S. listings and blockchain integration, highlighting regulatory progress. High-profile endorsements, such as remarks from SEC Chair Paul Atkins comparing tokenization to the transformative digitization of the music industry, further validate this trend.
Galaxy Digital’s Nasdaq debut and tokenization plans reflect an industry-wide shift towards creating new financial tools, expanding institutional participation, and potentially reshaping decentralized finance.