Media: Galaxy Digital to Launch a $100M Crypto-focused Hedge Fund

• According to press reports, Galaxy Digital is preparing to launch a new product.
• It is a hedge fund that will invest in a basket of assets across the crypto market.
• The target investment size is $100 million, with Galaxy Digital itself participating.

Galaxy Digital plans to launch a new hedge fund in Q1 2026. Financial Times reported this, citing sources.

The product is expected to invest in crypto assets (up to 30%) and in the stocks of counterparties in the sector. According to sources, the company expects significant market volatility due to changes in the regulatory landscape.

Financial Times said the fund has allegedly already secured $100 million from family offices and large investors. Galaxy will also invest in the product at the initial stage, but the exact amount is unknown.

Galaxy portfolio manager and likely head of the new fund Joe Armao told the outlet that the company will not limit itself to exchanges and large firms alone. The organization intends to generate returns, including by shorting some positions.

On crypto assets, Armao said the growth phase of the current cycle may have come to an end.

At the same time, he said, it is impossible to ignore, for example, bitcoin, since there is a chance the US Federal Reserve will further cut interest rates.

In June 2025, Galaxy closed its first venture fund — Galaxy Ventures Fund I LP. The company managed to raise $175 million for it, with demand exceeding expectations.