Galaxy Digital Agrees to $200 Million Settlement with NYAG Over LUNA Investments

Galaxy Digital, led by CEO Mike Novogratz, has reached a settlement with the New York Attorney General’s (NYAG) office, agreeing to pay $200 million. This agreement pertains to issues surrounding the collapse of the Terra-Luna ecosystem in 2022.

Key Highlights:

• Galaxy will pay $200 million to the State of New York concerning its investment, trading, and public statements about LUNA, which imploded in May 2022, leading to a loss of around $60 billion in value. Galaxy announced the news.
• The company reported profits of $174 million and $365 million for Q4 and the entirety of 2024, respectively, factoring in the accrued legal settlement with NYAG.
• Galaxy has also signed a 15-year lease with CoreWeave, a cloud-computing company, committing to supply 133 MW of electricity supporting artificial intelligence and high-performance computing initiatives, which it expects to generate around $4.5 billion in future revenue.

Financial Performance

The company’s profits equate to $1.02 per diluted share. Notably, GLXY shares recorded a 3.54% decrease at closing on Thursday.