Today in crypto, Galaxy Digital has raised $175 million for its first externally backed venture fund, targeting early-stage crypto startups. Invesco became the ninth bidder for a spot Solana exchange-traded fund (ETF), and crypto could soon be assessed for certain home loans in the US.
Galaxy Digital raises $175 million in first fund to expand crypto investments
Galaxy Digital has closed a $175 million venture fund, its first with outside capital, as the company ramps up plans to invest in early-stage crypto startups.
The fund, which exceeded its $150 million target, marks the first time Galaxy has accepted outside capital. Until now, the company had relied solely on its own balance sheet for venture investments, according to a Thursday press release.
The fund targets high-growth sectors such as stablecoins, tokenization, and payments, as well as the software layers that support them.
“We’re seeing an acceleration of adoption from both institutions and retail users globally—especially around use cases like payments, capital markets, and financial services more broadly,” general partner Mike Giampapa commented.
Founder and CEO Mike Novogratz said the company has been able to close its first venture fund above target during one of the toughest periods for crypto fundraising.
“With deep roots in onchain markets and blockchain infrastructure, we’re committed to backing founders and startups building real-world use cases that are shaping the next chapter of crypto adoption,” he added.
Invesco becomes 9th bidder for spot Solana ETF
Asset manager Invesco has joined up as the ninth firm looking to launch a spot Solana (SOL) exchange-traded fund, lodging a registration statement with regulators on Wednesday alongside Galaxy Digital for the Invesco Galaxy Solana ETF.
The fund would directly hold Solana and aim to track its price, and, if approved, would trade on the Cboe BZX exchange under the ticker “QSOL.” The filing said it could also stake a portion of the SOL “from time to time.”
Invesco and Galaxy will need to submit Form 19b-4, which proposes a rule change to the SEC, for the agency to begin the process of considering approving the ETF.
It joins CoinShares, VanEck, Bitwise, Grayscale, 21Shares, Canary Capital, Franklin Templeton and Fidelity Investments in looking to launch a Solana ETF, which analysts said has a 90% chance of approval and could be approved next month, well before a regulatory deadline of Oct. 10.
US home mortgage regulator to recognize crypto assets in risk assessments
US home mortgage purchasers Fannie Mae and Freddie Mac will count cryptocurrencies as assets in their risk assessments for single-family home loans, marking a significant step toward the mainstream acceptance of digital assets under US President Donald Trump’s administration.
The directive was issued Wednesday by William J. Pulte, director of the Federal Housing Finance Agency (FHFA), which regulates both government-sponsored enterprises (GSEs).
The decision means cryptocurrencies will be considered a reserve asset for home-loan borrowers without having to convert those assets into US dollars, as was previously the case. The FHFA has overseen Fannie Mae and Freddie Mac since 2008, when both institutions were placed under government conservatorship in the aftermath of the financial crisis.
Pulte said the decision to include cryptocurrencies as part of the mortgage risk assessment came “after significant studying” and aligns with Trump’s goal to make the United States the global crypto capital.
Fannie Mae and Freddie Mac have played a critical role in the US housing market since the subprime mortgage crisis, providing liquidity and stability by purchasing mortgages from lenders, which enables lenders to issue more loans.
