Galaxy Digital, the digital asset management firm led by Mike Novogratz, is set to manage the cryptocurrency holdings of bankrupt exchange FTX. The company has filed a motion seeking authorization to sell the recovered digital assets, worth around $7 billion, under Galaxy Digital’s management. FTX plans to reduce exposure to volatility and potential fiat repayments to creditors by selling its holdings and staking certain tokens to generate passive yield. The partnership with Galaxy Digital will allow FTX to anonymously sell its holdings and mitigate the risk of market manipulation. The company also intends to create a rebooted offshore exchange as part of its proposed restructuring plan.
