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Mike Novogratz Searching for $250-Mln Investment to Fund Crypto Startups

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Thu, 24/01/2019 - 15:36
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Mike Novogratz Searching for $250-Mln Investment to Fund Crypto Startups
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Despite the heavy bearish pressure on crypto investors and startups, the inexhaustible belief of Mike Novogratz, the hedge fund management guru, in the ultimate success of blockchain and digital assets are letting him earn money even now.

The expert investor is trying to raise $250 mln in order to make loans to crypto startups that are currently having a bad time, struggling to survive. Besides, apparently, under the current poor market conditions, such loans are now in high demand.

Terms of Novogratz funding crypto startups

Business Insider reports that Novogratz plans to take some kind of collateral for a loan, such as crypto, mining gear or property. The fund for crypto loans is expected to be a part of Galaxy Digital unit for managing assets.

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On Wednesday, Bloomberg reported that Galaxy Digital also made an investment into Symbiont.io – a DLT startup that plans to use blockchain in the capital market sphere. The company has also received loans from Citigroup Inc. and Nasdaq Inc.

In January, Mike Novogratz increased his stake in the Galaxy Digital Holdings Ltd. He purchased 7.5 mln of the company’s ordinary shares with 7.42 mln CAD, now holding nearly 80 percent of the company’s shares.

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Overall trend of investing in blockchain firms

Presently, quite a lot of Wall Street companies are rushing to invest in blockchain startups. Heavyweights, such as Ethereum or Binance, have even created their own funds and programs for supporting crypto startups with money.

Disclaimer: The opinions expressed by our writers are their own and do not represent the views of U.Today. The financial and market information provided on U.Today is intended for informational purposes only. U.Today is not liable for any financial losses incurred while trading cryptocurrencies. Conduct your own research by contacting financial experts before making any investment decisions. We believe that all content is accurate as of the date of publication, but certain offers mentioned may no longer be available.

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