Galaxy Digital Acquires $306 Million in Solana
Digital asset investment firm Galaxy Digital has made a significant purchase of $306 million worth of Solana in a single day. This acquisition followed their collaboration with investment firm Multicoin Capital and trading firm Jump Crypto to establish a crypto treasury company.
According to blockchain data from Lookonchain, Galaxy acquired 1.2 million Solana (SOL) on Sunday from various exchanges and subsequently transferred them to the crypto custody firm Fireblocks.
This purchase is part of a broader accumulation of Solana by Galaxy that began on Wednesday, resulting in total purchases exceeding $1.5 billion worth of the token.
On Thursday, Galaxy announced its partnership with Multicoin Capital and Jump Crypto to participate in a $1.65 billion private placement round for Forward Industries, a medical device company that recently decided to pursue the largest Solana holdings among public firms, aligning with the trend of similar crypto treasury companies.
Lookonchain reported that over the last five days, Galaxy has acquired 6.5 million SOL, valued at approximately $1.55 billion.
On-chain data indicates that the firm is purchasing tens to hundreds of thousands of SOL tokens in quick succession, with each acquisition costing millions of dollars.
It remains uncertain whether Galaxy’s purchases of SOL are related to its involvement with Forward Industries. Galaxy Digital has not yet responded to requests for comment.
Shares of Forward Industries (FORD) experienced a surge last week following its announcement regarding Solana, with the stock rising 16% over the last five trading days as of Friday.
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The company’s stock price has increased by 620% year-to-date, closing at $36.10 on Friday, reversing a prolonged decline.
As of the June quarter, Forward Industries reported a 50% decline in revenue compared to the same period last year, with a net profit margin reduction of 329% during that timeframe.
On September 3, Galaxy Digital achieved a milestone by becoming the first Nasdaq-listed firm to be tokenized on the Solana blockchain.
Current Trends in Solana
In related news, Solana treasury company DeFi Development Corp announced that its Solana treasury has reached the 2 million milestone after purchasing $117 million worth of SOL in just eight days.
Mert Mumtaz, co-founder and CEO of Helius, noted that Solana treasury companies have collectively raised between $3 billion and $4 billion, with additional funds expected to follow.
Earlier this month, the total value locked on Solana reached a record high of $12 billion, ranking second only to Ethereum when evaluating TVL across its DeFi projects.
As per CoinGecko, Solana has increased by 17.3% in the past week and has seen nearly a 30% rise in the previous 30 days.
