In the first quarter of 2024, Galaxy Digital's net income increased by 40% thanks to record-breaking mining activities and management feerevenues.

Galaxy Digital’s revenue soars with mining, fees at record levels

In 2024, Galaxy Digital had a successful first quarter, reporting net profits of $422 million, up 40% from the previous quarter. The huge profits from mining and management fees helped to fuel the boom.

The business reports that revenue from its mining activities reached a record of $31.5 million, up 69% over the previous quarter. Its increased mining capability, which saw its hash rate under administration reach 5.7 exahashes per second, was the main factor behind the development.

Galaxy mined 373 bitcoins during the quarter, for a total of BTC $61,550, at an average cost of less than $19,500.

Asset management was also a strong performer for the company in the first quarter. Management and performance fees reached a record $17.8 million — a 113% increase from the previous quarter.

*Galaxy's hash rate is under management. Source: Galaxy Digital*

In January, a spot Bitcoin exchange-traded fund was introduced in the US by Galaxy Digital and Invesco. In April, the business introduced two exchange-traded commodities (ETCs) in collaboration with DWS Group, increasing its offers of BTC and ETH to $2,882 on the European market.

With $66 million in income, trading operations recorded a 78% rise in revenue, mostly driven by gains from derivatives and favorable changes in asset prices. According to Galaxy, its loan book increased to an average size of $664 million.

As of March 31, Galaxy's assets under management had increased to over $7.8 billion, a 219% rise from the previous year and a 50% increase from the previous quarter.

Significant growth was also seen in its equity capital, which increased by 22% from quarter to quarter to $2.2 billion. With a 100% increase in assets under stake in the first quarter, Galaxy is now the second-largest validator on the Solana network, with $1.5 billion.

The business raised about $125 million in funding in April. Galaxy intends to upgrade the West Texas-based Helios mining facility's infrastructure using the money. While Galaxy has been given permission to expand up to 800 megawatts at the location, the present Helios infrastructure can only handle 180 megawatts.