Galaxy Digital, a major player in the world of cryptocurrency investment, is planning to increase...
Speaking to analysts after the release of the firm’s Q1 earnings, Novogratz explained that the recent failures of digital asset companies such as FTX have prompted a crackdown by US authorities, prompting Galaxy to concentrate on driving growth overseas.
He also acknowledged that the regulatory hurdles in the US are likely to persist for the foreseeable future, and attributed this in part to a loss of trust caused by bad actors in the industry.
Novogratz believes that the US crypto sector is currently experiencing a period of stasis, as regulatory agencies like the SEC continue to use legal action to exert control over the market.
In the wake of FTX’s collapse last year, US regulators have intensified their crackdown on the cryptocurrency industry, taking aim at exchanges such as Kraken, Binance US, and Gemini. As a result, some companies have opted to establish offices in other jurisdictions.