Toronto Stock Exchange’s Sandbox Facilitates Crypto Focused Galaxy Digital to Get Listed May 16, 2020 May 16, 2020 Kelly Cromley http://1AZFjzw2#Nwf63pYaMWq#xIY
Market NewsMay 16, 2020 by Kelly Cromley

Toronto Stock Exchange’s Sandbox Facilitates Crypto Focused Galaxy Digital to Get Listed

Galaxy Digital Holdings, a cryptocurrency trading and venture capital firm, has received conditional clearance for taking part in the Sandbox of Toronto Stock Exchange.

TSX’s sandbox, unveiled in April 2019, offers a trial platform for fresh policy creation, in addition to paving way for listing applications “that may not generally satisfy the requirements and guidelines of TSX.”

Galaxy, following completion of platform trial for one year, will shift from sandbox to TSX. The platform should not face any “significant compliance issue” during trial period for moving to TSX.

Galaxy Digital founder and chief executive, Mike Novogratz, opined that the entry into sandbox is a “significant step in [its] evolution as a public company.”

Even though Galaxy Digital did not meet the criteria of holding CAD 10 million (~$7.10 million) in treasury, raised via public funding, the sandbox has made use of its discretionary power to drop the requirement.

Galaxy Digital president, Christopher Ferraro, said “Our proposed graduation to the TSX comes as the company continues to make great strides in execution across all of our business lines.”

Ferraro further stated that “Our trading desk executed approximately $1 billion of total volume in the most recent quarter, including flows from significant new hedge fund counter-parties moving into crypto, while our asset management business continues to see strong fund inflows to its Bitcoin Fund.”

Last September, Canadian crypto mining company, Hut 8, turned out to be the first enterprise to be given conditional clearance for TSX listing via the stock exchange’s sandbox.

The program will permit Galaxy Digital to shift from TSX’s Ventures platform to the topmost senior public market of the exchange.

Galaxy Digital began trading on TSX Ventures at the beginning of August 2018. After getting listed at about $2.05, the stock lost over 65% for the rest of the year and hit a low of $0.70.

Galaxy Digital rebounded by 150% between late December 2018 and first-quarter of 2019, before beginning a one-year decline to hit a low of $0.52 during March 2020.

As Bitcoin halving neared, the cryptocurrency market turned bullish last month leading to a 100% gain in the stock of Galaxy Digital, which closed at $1.05 in the last trading session.

AuthorKelly Cromley

Kelly is our in house crytpto researcher, delving into the stories which matter from blockchains being used in the real world to new ico coming out.