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Galaxy Digital to Launch $100 Million Hedge Fund With Hybrid Crypto and Financial Stocks Strategy

The vehicle signals a turn toward volatility-driven trading under manager Joe Armao.

Overview

  • The fund is slated to start in the first quarter of 2026, according to the Financial Times, with no specific date disclosed.
  • Up to 30% of capital will go into cryptocurrency tokens, with the remainder invested in financial-services equities linked to digital-asset technology and regulation.
  • The mandate allows long and short positions across tokens and stocks to capture both price rises and declines.
  • Galaxy has lined up about $100 million from family offices, high‑net‑worth investors and some institutions, and will add an undisclosed seed commitment.
  • Armao says the market’s “up‑only” phase may be fading even as he stays constructive on major networks, with Bitcoin trading near $88,000–$90,000 after a roughly 28–29% drop from October’s peak.