Galaxy Digital's $1.5B Solana Buying Spree: What's Driving It?
Galaxy Digital Amasses $1.5 Billion in Solana
Digital assets investment firm Galaxy Digital has significantly increased its Solana (SOL) holdings, purchasing over $1.5 billion worth of the token in recent days. This buying spree includes a notable $306 million acquisition on Sunday alone, involving 1.2 million SOL tokens transferred to custody firm Fireblocks, according to data reported by Lookonchain.
Weekend Haul and Overall Accumulation
- Sunday's Purchase: $306 million (1.2 million SOL).
- Total Accumulation: Over 6.5 million SOL in the past five days, valued at approximately $1.55 billion.
The rapid succession of purchases, involving tens to hundreds of thousands of SOL tokens at a time, suggests a strong conviction in Solana's future.
Strategic Partnerships and Forward Industries
Galaxy Digital's Solana acquisition aligns with its involvement in a $1.65 billion private placement round in Forward Industries, a medical device company pivoting to become a major Solana holder. This investment is in partnership with Multicoin Capital and Jump Crypto, reflecting a growing trend of "crypto treasury companies."
Forward Industries Stock Surge
Following its Solana pivot announcement, Forward Industries (FORD) experienced a stock rally, with shares up 16% last week and an impressive 620% year-to-date.
Solana Ecosystem Growth
Galaxy Digital’s investment highlights increasing adoption of Solana, underscored by several key developments:
- Tokenization: Galaxy Digital became the first Nasdaq-listed firm to be tokenized on Solana on Sept. 3.
- Treasury Growth: DeFi Development Corp reported its Solana treasury exceeding 2 million SOL.
- TVL Surge: Total Value Locked (TVL) on Solana hit a record high of $12 billion, second only to Ethereum.
Solana's price reflects this momentum, with gains of 17.3% in the past week and nearly 30% in the last 30 days.
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