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Galaxy Digital shares dropped about 17% on Tuesday after the company reported a massive $482 million net loss for the last quarter of 2025.
That hit came after a steep 22% fall in the value of its crypto investments, pulling down earnings to ‑$1.08 per share, both reported and adjusted. It wiped out a strong third quarter and shocked a lot of traders who were hoping Galaxy would ride out the market downturn better.
The total value of Galaxy’s assets dropped to $11.3 billion, while total equity slipped to $3.0 billion. Cash and stablecoins rose to $2.6 billion, which helped a little, but not enough to cover the losses.
Their net digital assets dropped to $1.68 billion, down from $2.14 billion just three months earlier. On top of that, the overall crypto market lost around 24% of its value in the same period.
Trading collapsed after big Q3, earnings swing deep into the red
Galaxy went from reporting a $505 million profit in Q3 to a $482 million loss in Q4. Revenue for the quarter dropped to $10.2 billion, down from $29.2 billion. Transaction expenses followed the same pattern, falling to $10.3 billion from $28.3 billion.
The Digital Assets unit brought in just $51 million in gross profit last quarter. That’s down from $318 million in Q3. The adjusted EBITDA for that segment dropped to ‑$29 million.
Galaxy’s Treasury and Corporate came in even worse, reporting ‑$454 million in gross profit and ‑$488 million in EBITDA. For the year, Galaxy booked a $241 million loss, or ‑$0.61 per share, after racking up $160 million in one-time costs tied to bitcoin mining infrastructure and restructuring moves.
Despite the big loss, the loan book grew slightly to $1.8 billion on average. Galaxy’s number of trading counterparties rose to 1,620, up from 1,532.
But volumes dropped sharply, around 40%, after a record Q3 where the company pulled off a $9 billion notional bitcoin transaction.
Galaxy’s investment banking arm closed two deals in Q4, helping Aplo get acquired by Coincheck and working on a DeFi merger.
Staking and asset management slide as prices fall
Galaxy’s Asset Management and Infrastructure Solutions division posted $21 million in gross profit, slightly down from Q3. Assets under management ended the year at $6.4 billion, and $5.0 billion were under stake.
Both numbers dropped as crypto prices dipped. ETF assets fell to $2.84 billion, while alternative investments landed at $3.58 billion.
To expand staking, Galaxy acquired Alluvial Finance, making it the developer behind Liquid Collective, a staking protocol aimed at big institutions. This deal was part of Galaxy’s push to stay relevant as staking grows.
For the full year, the asset division generated $505 million in gross profit and $247 million in adjusted EBITDA. These numbers came from across the board; trading, lending, investment banking, asset management, and blockchain infrastructure.
The data center unit reported $4.6 million in gross profit and $0.3 million in EBITDA. For the year, it pulled in $7.2 million and $2.7 million in EBITDA. Not huge numbers, but consistent.
Galaxy adds more power and raises fresh capital for 2026
Galaxy is building out its infrastructure fast. In Q4, the company signed 800 megawatts of long-term agreements with CoreWeave. They expect to deliver 133 megawatts of IT load in the first half of 2026, with the first data hall ready in the first quarter.
On January 15, 2026, Galaxy received ERCOT approval for 830 more megawatts at its Helios site. That brings the total approved power capacity to over 1.6 gigawatts, enough for future expansion in 2026 and beyond. Phase II and III will add another 393 megawatts, with all three phases expected to generate $1 billion+ per year once fully online.
To fund this growth, Galaxy raised $325 million in equity capital and completed a $1.3 billion exchangeable senior notes offering. The cash is going to general corporate use and growth projects.
As of the end of 2025, Galaxy’s equity capital stood at $3.0 billion, split between Digital Assets (36%), Data Centers (25%), and Treasury and Corporate (39%). Year over year, total equity rose 38%, and total assets jumped 59%. The $2.6 billion in cash and stablecoins also marked a 168% increase from a year earlier.
Galaxy says it’s still planning to keep up the pace in 2026, especially with its Helios data campus and new infrastructure deals on deck. Whether the crypto market gives it enough support to pull that off is still an open question.
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