Novogratz’s Galaxy Bets on Disruption with New $100M Crypto-Traditional Hybrid Fund

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Galaxy Digital, the crypto financial services firm founded by Mike Novogratz, is preparing a strategic $100 million hedge fund that bridges digital and traditional finance, a new Financial Times report reveals. The fund has garnered $100 million in commitments ahead of its Q1 launch.

In a deliberate hybrid strategy, the fund will invest 70% of its capital in equities of traditional financial services firms, while dedicating 30% to direct cryptocurrency exposure.

Fund lead Joe Armao framed the approach as a response to a shifting market cycle, moving away from broad crypto rallies toward identifying specific winners and losers from technological and regulatory disruption—including from digital assets and artificial intelligence.

Galaxy, which manages roughly $17 billion in digital assets, is seeding the new vehicle. The launch signals the firm’s focus on sophisticated, multi-asset strategies as the crypto sector matures.