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In a recent interview, the Galaxy Digital founder claimed that his cryptocurrency assets accounted for 85 percent of his nett worth.
Mike Novogratz, the founder and CEO of Galaxy Digital and a billionaire involved in the digital asset market, claims that cryptocurrencies account for up to 85 percent of his nett worth.
In an interview with New York Magazine’s Intelligencer published today, Novogratz said that while he had approximately 30% of his nett worth in crypto at the outset of the 2017 bull run, recent price spikes in the crypto sector had boosted the value of his shares, bringing them to “up to 85%” of the billionaire investor’s nett worth. According to Bloomberg, Novogratz is worth $6.25 billion as of May 12, implying that his crypto could be worth $5.3 billion.
This figure ostensibly includes Novogratz’s personal holdings as well as possible ownership of crypto companies — Galaxy Digital announced last week that it would buy institutional crypto custodian service and wallet provider BitGo for $1.2 billion. The CEO also mentioned that, while he is a HODLer, his lifestyle allows him to make those investments:
“I’m lucky enough that I had wealth outside of crypto wealth. I’m as bullish as I’ve been on the space. But I see lots of people that have gone from one lifestyle to having the possibility of really having changed their life. And I’m like, guys, be prudent, take a little bit off the table.”
It’s uncertain what effect the recent volatility in Bitcoin (BTC) and Ether (ETH) has on Novogratz’s holdings. Many cryptocurrencies experienced a sharp drop in value yesterday after Elon Musk revealed that Tesla will discontinue funding for BTC vehicle transactions. This drop came before Bloomberg reported that Binance was being investigated by both the US Justice Department and the Internal Revenue Service.
At the time of release, the BTC price was $49,096, down more than 9% in the previous 24 hours. While Novogratz estimated that ETH will “of course” cross $5,000, the token is experiencing a comparable decline to BTC, dropping 9 percent in the last 24 hours to $3,706.
“The last five months have kind of rocked our worlds in terms of what percentage of our nett worth is in crypto,” the Galaxy Digital CEO said. “Cryptos pulled off a once-in-a-generation move. And I believe people should realise that this will not continue indefinitely. For example, the transition from not-an-asset-class to asset class may only happen once.”