{"id":37576,"date":"2022-06-09T17:21:00","date_gmt":"2022-06-09T14:21:00","guid":{"rendered":"https:\/\/forklog.com\/en\/?p=37576"},"modified":"2025-08-29T18:41:07","modified_gmt":"2025-08-29T15:41:07","slug":"who-is-mike-novogratz","status":"publish","type":"post","link":"https:\/\/forklog.com\/en\/who-is-mike-novogratz\/","title":{"rendered":"Who is Mike Novogratz?"},"content":{"rendered":"<div class=\"wp-block-text-wrappers-cards single_card\">\n<h2 class=\"card_label\">Key facts<\/h2>\n<ul class=\"wp-block-list\">\n<li>Michael (Mike) Novogratz is one of the most prominent investors in cryptoassets. He is the founder and head of Galaxy Digital.<\/li>\n<li>Novogratz was among the first Wall Street figures to publicly acknowledge digital currencies as a promising and valuable asset class.<\/li>\n<li>In 2008 Forbes listed Novogratz as a billionaire.<\/li>\n<\/ul>\n<\/div>\n<div class=\"wp-block-text-wrappers-cards single_card\">\n<h2 class=\"card_label\">How did Novogratz enter crypto?<\/h2>\n<p>Michael Novogratz was born in 1964 in Alexandria, Virginia (USA), into a large family. He earned a Bachelor of Arts in economics and served in the National Guard.<\/p>\n<p>Novogratz built a Wall Street career. He worked in Goldman Sachs\u2019s Tokyo and Hong Kong offices, later became a partner and ran the Latin America businesses. In 2002 he moved to the investment firm Fortress Investments, where he helped organise its IPO. The company suffered heavy losses during the 2007\u20132008 recession.<\/p>\n<p>In 2015 Novogratz joined a relatively small cryptocurrency investment firm called Galaxy Investment Partners. As early as 2017 he said he kept about 20% of his personal capital in bitcoin and ether. <\/p>\n<\/div>\n<div class=\"wp-block-text-wrappers-cards single_card\">\n<h2 class=\"card_label\">When did Novogratz found Galaxy Digital?<\/h2>\n<p>In 2018 Novogratz founded his own company, <a href=\"https:\/\/www.galaxydigital.io\" target=\"_blank\" rel=\"noreferrer noopener\">Galaxy Digital<\/a>. Its initial investment fund totalled $500m, of which Novogratz contributed $150m. He has repeatedly called the company \u201cthe Goldman Sachs for cryptocurrencies\u201d. Shortly after launch, Galaxy Digital listed on Canada\u2019s TSX Venture Exchange.<\/p>\n<p>Today Galaxy Digital describes itself on its website as a bridge between the crypto industry and institutional investors, offering a wide range of services for \u201cwhales\u201d, including bitcoin mining.<\/p>\n<p>The company is also one of the leading institutional investors active in the crypto market. As of September 2021 its portfolio included more than 150 digital-asset projects.<\/p>\n<p>In 2021 the company struck strategic partnerships with Morgan Stanley and Invesco, and at the end of the year it raised $500m through a bond offering.<\/p>\n<p>By May 2022 Galaxy Digital had around $2bn in assets under management, roughly half in cryptoassets and the rest in shares of crypto-related companies.<\/p>\n<\/div>\n<div class=\"wp-block-text-wrappers-cards single_card\">\n<h2 class=\"card_label\">What do Novogratz and his company invest in?<\/h2>\n<p>In one interview the venture investor said he first bought bitcoin in 2012 at $95, and in 2013 he took part in Ethereum\u2019s token sale, buying coins at $0.99.<\/p>\n<p>One of Galaxy Digital\u2019s first large investments was the US crypto-backed lender BlockFi in 2018. A few months later it joined a funding round for mining firm Bitfury Group.<\/p>\n<p>In September 2020 Galaxy Digital <a href=\"https:\/\/forklog.com\/en\/news\/galaxy-digital-takes-minority-stake-in-parafi-capital-to-back-defi-investments\">became<\/a> a shareholder in ParaFi Capital, a fund investing in decentralised-finance projects. Thanks to this partnership the company allocated about 5% of its capital to DeFi.<\/p>\n<p>In May 2021 the company announced the acquisition of leading US crypto custodian BitGo for more than $1.2bn. However, as of May 2022 the deal had not been completed.<\/p>\n<p>Also worth noting is a joint project with Bloomberg\u2014the Bloomberg Galaxy Crypto Index (BGCI), used by the platform\u2019s corporate clients. It tracks the market-cap dynamics of bitcoin and the largest altcoins. <\/p>\n<p>In addition, Galaxy Digital has a dedicated gaming investment arm called Galaxy Interactive, with a budget of several hundred million dollars.<\/p>\n<\/div>\n<div class=\"wp-block-text-wrappers-cards single_card\">\n<h2 class=\"card_label\">What does Novogratz think about bitcoin?<\/h2>\n<p>The Galaxy Digital founder extols bitcoin, calling it the only reliable cryptoasset, especially for newcomers and for residents of countries with weak national currencies. Overall, in his view, BTC <a href=\"https:\/\/forklog.com\/en\/news\/mike-novogratz-everyone-should-hold-2-3-of-their-portfolio-in-bitcoin\">should account for<\/a> no less than 2\u20133% of the portfolio of anyone seeking to preserve their savings.<\/p>\n<figure class=\"wp-block-image size-large is-resized\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/forklog.com\/wp-content\/uploads\/bitcoin_king-1024x819.jpg\" alt=\"Who is Mike Novogratz?\" class=\"wp-image-103012\" width=\"768\" height=\"614\" srcset=\"https:\/\/forklog.com\/wp-content\/uploads\/bitcoin_king-1024x819.jpg 1024w, https:\/\/forklog.com\/wp-content\/uploads\/bitcoin_king-300x240.jpg 300w, https:\/\/forklog.com\/wp-content\/uploads\/bitcoin_king-768x614.jpg 768w, https:\/\/forklog.com\/wp-content\/uploads\/bitcoin_king.jpg 1200w\" sizes=\"auto, (max-width: 768px) 100vw, 768px\" \/><\/figure>\n<p>At the same time, he said in autumn 2021 that 75% of today\u2019s altcoins will not survive the next ten years.<\/p>\n<p>Novogratz urges investors to look past bitcoin\u2019s volatility, arguing that in the long run the price of the first cryptocurrency will rise by an order of magnitude. He has also noted that market swings diminish as more \u201cwhales\u201d enter.<\/p>\n<p>Another key factor in determining bitcoin\u2019s price, in his view, is the US Federal Reserve\u2019s abandonment of monetary tightening. As he said in April 2022, once the Fed stops raising rates, bitcoin will settle somewhere between $500,000 and $1m.<\/p>\n<p>He is convinced that bitcoin will ultimately be used to preserve capital rather than for payments. Analysts at Galaxy Digital forecast that both BTC and ETH would double in price by mid\u20112023.<\/p>\n<\/div>\n<div class=\"wp-block-text-wrappers-cards single_card\">\n<h2 class=\"card_label\">Did Novogratz invest in Terra?<\/h2>\n<p>Yes. Galaxy Digital invested a large sum in Terra\u2019s developer, Terraform Labs, taking part in at least two funding rounds in 2021.<\/p>\n<p>Mike Novogratz even got a tattoo in early 2022 dedicated to the project, and counted himself among the \u201cLunatics\u201d (as Terra\u2019s community called itself).<\/p>\n<figure class=\"wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter\">\n<div class=\"wp-block-embed__wrapper\">\nhttps:\/\/twitter.com\/novogratz\/status\/1478535972560195585\n<\/div>\n<\/figure>\n<p>A few months later, the project\u2019s native coin and its algorithmic stablecoin UST collapsed. In a letter to Galaxy Digital employees, Novogratz admitted that investing in Terraform Labs had been a mistake. The tattoo, he said, \u201cwill be a constant reminder that venture investing requires humility\u201d.<\/p>\n<\/div>\n<div class=\"wp-block-text-wrappers-cards single_card\">\n<h2 class=\"card_label\">What does Novogratz think about CBDCs?<\/h2>\n<p>Since August 2020 US authorities <a href=\"https:\/\/forklog.com\/en\/news\/fed-outlines-research-into-issuing-a-digital-dollar\">have been working<\/a> on a digital dollar project. Mike Novogratz is among the supporters of a new kind of state-issued currency. <\/p>\n<p>In his words, the digital dollar should be issued as soon as possible, and China, which recently expanded testing of the digital yuan, proves the project\u2019s urgency. America\u2019s slowness on this, for Novogratz, is an \u201cexistential crisis\u201d. <\/p>\n<p>The investor has also accused US authorities of \u201cnot understanding cryptocurrency\u201d and has opposed tightening the regulation of digital assets.<\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>\u201cCryptocurrencies are the future of our financial system, and citizens deserve officials who do their homework to understand this new technology. We also need regulators and politicians who realize that new ideas need space to grow,\u201d he wrote.<\/p>\n<\/blockquote>\n<\/div>\n<div class=\"wp-block-text-wrappers-cards single_card\">\n<h2 class=\"card_label\">What does Novogratz think about NFTs?<\/h2>\n<p>In 2020, together with businessman and author Gary Vaynerchuk and the head of internet retailer Fanatics, Novogratz announced a sports NFT marketplace called Candy Digital. <\/p>\n<p>The first digital item offered on the platform was an NFT of American baseball player Lou Gehrig\u2019s farewell speech. In October 2021 the startup was valued at $1.5bn.<\/p>\n<p>Novogratz calls the non-fungible token market \u201cthe road to the future\u201d. Everyone will soon use it, the Galaxy Digital head is certain\u2014it is \u201conly a matter of time\u201d.<\/p>\n<\/div>\n<div class=\"wp-block-text-wrappers-cards single_card\">\n<h2 class=\"card_label\">What else to read?<\/h2>\n<p><a href=\"https:\/\/forklog.com\/en\/news\/what-is-coinbase\">What is Coinbase?<\/a><\/p>\n<p><a href=\"https:\/\/forklog.com\/en\/news\/what-is-a-cryptocurrency-etf\">What is a cryptocurrency ETF?<\/a><\/p>\n<p><a href=\"https:\/\/forklog.com\/en\/news\/what-is-grayscale-investments\">What is Grayscale Investments?<\/a><\/p>\n<p><a href=\"https:\/\/forklog.com\/en\/news\/what-are-algorithmic-stablecoins\">What are algorithmic stablecoins?<\/a><\/p>\n<p><a href=\"https:\/\/forklog.com\/en\/news\/what-is-a-central-bank-digital-currency-cbdc\">What is a central bank digital currency (CBDC)?<\/a><\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>At what price did Mike Novogratz buy ETH in Ethereum\u2019s ICO? How many crypto projects has his firm Galaxy Digital backed? What does he think of bitcoin? A profile of one of crypto\u2019s best-known investors\u2014in handy cards.<\/p>\n","protected":false},"author":1,"featured_media":37577,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"select":"1","news_style_id":"1","cryptorium_level":"2","_short_excerpt_text":"","creation_source":"","_metatest_mainpost_news_update":false,"footnotes":""},"categories":[2113],"tags":[2136,2118,770,1156],"class_list":["post-37576","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-cryptorium","tag-101-people","tag-101-trading-and-investing","tag-galaxy-digital","tag-institutional-investors-and-whales"],"aioseo_notices":[],"amp_enabled":true,"views":"126","promo_type":"1","layout_type":"1","short_excerpt":"","is_update":"","_links":{"self":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/37576","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/comments?post=37576"}],"version-history":[{"count":1,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/37576\/revisions"}],"predecessor-version":[{"id":37578,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/37576\/revisions\/37578"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/media\/37577"}],"wp:attachment":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/media?parent=37576"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/categories?post=37576"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/tags?post=37576"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}