The gold rush of companies filling their balance sheets with crypto assets might be slowing down, according to Galaxy Digital CEO Michael Novogratz.
Speaking during the firm’s Q2 2025 earnings call, Novogratz suggested that the market has reached a tipping point.
“It’s no longer about how many new players are entering,” he noted, “but which ones can lead and survive.”
Over the past year, regulatory shifts in the U.S. opened the floodgates for a new class of public firms—crypto treasury companies—raising capital through IPOs and investing in digital assets. While Bitcoin remained the dominant choice early on, newer firms began diversifying into Ethereum, Solana, and lesser-known tokens.
But according to Novogratz, the window for new entrants may be narrowing. He pointed to major institutional players already holding substantial positions in Ethereum, including BitMine and SharpLink, as signs of a maturing market.
Galaxy Digital, which manages assets for more than 20 such firms, has seen its platform grow by around $2 billion in crypto assets—generating stable income through management fees. Still, Galaxy’s earnings came in mixed, with a $30.7 million net profit offset by an EPS figure that missed forecasts.
Looking ahead, Novogratz sees ETFs and crypto treasuries as a bridge for hedge funds and traditional institutions entering the space. But full-scale tokenization of real-world assets remains a longer-term challenge.
He referenced the SEC’s ongoing “Project Crypto” as a potential driver of blockchain adoption across financial markets, though he acknowledged much work remains before traditional assets can fully migrate on-chain.
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Source: https://coindoo.com/crypto-treasuries-may-have-hit-their-limit-says-galaxys-novogratz/