Galaxy reports $85M net loss amid Q2 crypto market slump
Reported by Cointelegraph · AI-assisted summary by ChikoCorp AI News Desk
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Summary
Galaxy Digital reported a net loss of $85 million for the second quarter of 2026, which the company attributed to declining cryptocurrency valuations during the period. Revenue dropped to $8.7 billion, down 15% from the previous quarter and below analyst expectations. Despite the loss, Galaxy highlighted a 34% quarter-over-quarter increase in adjusted gross profit from digital assets and positive earnings from its AI data center operations.
Why it matters
The developments illustrate the ongoing challenges in the crypto market, with falling digital asset prices impacting company revenues and share prices. However, Galaxy’s growth in adjusted gross profit and AI-related revenue signals diversification in its business model, which the company claims reduces its earnings' reliance on digital asset price movements.
Key context
The total cryptocurrency market capitalization fell nearly 15% in Q2 2026, reflecting broader market downturns. Galaxy’s adjusted EBITDA rose to $11 million, indicating improved core operating profitability excluding financing and one-time costs. The company has a significant long-term partnership with CoreWeave focused on AI data center expansion, including a $1.4 billion investment to grow its Texas Helios facility.
Key numbers and entities
Galaxy Digital posted an $85 million net loss and a revenue decline to $8.7 billion. Analysts had expected $12.7 billion in revenue. Galaxy’s share price fell 6.2% in premarket activity to $20.70. Total crypto market capitalization fell to $2 trillion at the end of June 2026 from $2.35 trillion on April 1. Adjusted gross profit from digital assets was $66 million, and adjusted EBITDA was $11 million. AI data centers generated $20 million in adjusted gross profit. Galaxy has a 15-year partnership with CoreWeave, targeting $1 billion in annual revenue.
What remains unclear
The source does not flag open questions or further uncertainties regarding Galaxy Digital’s financials or operational outlook.