This article comes fromDecrypt, by Liam J. Kelly
Odaily translator | Nian Yin Si Tang
Odaily translator | Nian Yin Si Tang
Mike Novogratz's company, Galaxy Digital, has won the auction to acquire GK8.
GK8 is a self-hosted encryption company founded by Lior Lamesh and Shahar Shamai, who worked as cybersecurity experts in the Israeli Prime Minister's Office. It is reported that GK8 serves banks, financial institutions, encrypted exchanges or platforms, central bank digital currency (CBDC) projects, family offices and hedge funds.GK8 debuts in November 2021Acquired by Celsius for $115 million
. After Celsius filed for bankruptcy, the self-hosting company was put up for auction as part of its bankruptcy proceedings.
The cost of the acquisition was not disclosed, but a Galaxy Digital representative told Decrypt, "The price we agreed to is significantly lower than the previous price Celsius paid for GK8."
GK8 did not immediately respond to Decrypt's request for comment. The deal is still subject to bankruptcy court approval.
GK8 will reportedly play a key role in Galaxy Digital's institutional offering, GalaxyOne, offering customers secure encrypted storage (often called cold storage) that doesn't require an internet connection.
"The addition of GK8 to our key offerings also underscores our continued willingness to capitalize on strategic opportunities to grow Galaxy in a sustainable manner during this critical period the industry is going through," Novogratz said in a statementexpress。
expressJust a few months ago, Galaxy pulled out of。
Plans to buy another crypto custody firm, BitGo, for $1.2 billionThe latter followed up on the Galaxy, saying it "improperly denied and willfully violated the merger agreement with BitGo," and is seeking $100 million in damages from Galaxy.
secondary title
Novogratz Encounters Crypto Contagion Twice
Despite the acquisitions, Novogratz has not been immune to this year's catastrophic run in cryptocurrencies.
The billionaire CEO suffered not just one catastrophic cryptocurrency crash, but two.
Novogratz, a former backer of the Cosmos-based project Terra and its founder Do Kwon, called the project’s implosion in May this year a “huge idea that failed.” He added that his Terra tattoo would be "a constant reminder that venture capital requires humility".In November, Galaxy disclosed in its third-quarter earnings report about the now-defunct FTX。
Nearly $77 million in exposure
"Sam and his associates staged a scam where they bet with clients' money while he mismanaged the risks," he told Bloomberg.express。
