$GLXY - $ETH With Ethereum up +135% in the last 3 months. I think it would be worthwhile to dig into why Galaxy has it's tentacles in every single aspect of $ETH it's actually mindblowing. – they’re building, staking, trading, and scaling ETH from wallets to validators, DAOs to derivatives. Galaxy Digital’s Ethereum Exposure 🧵 • Massive ETH Holdings: One OTC wallet linked to Galaxy held 139,000 ETH ($365M) post-2025 accumulation – long-term conviction. • Current Exposure: Even after portfolio shuffles (e.g. Solana), still holds 55,760 ETH ($90M). • Bottom line: Galaxy remains one of the largest institutional ETH holders. Staking Infrastructure 🧱 • Validator Powerhouse: Runs one of the largest institutional validator networks via 2024’s CryptoManufaktur acquisition, now staking ~$3.3B ETH. • + $1B Boost: That deal alone added $1B of staked ETH to Galaxy’s portfolio. • Liquid Staking Move: Partnered with Liquid Collective to offer OTC + liquidity for LsETH, letting institutions stake without sacrificing liquidity. Ethereum Investment Products 🧾 • Galaxy Ethereum Fund: Launched in 2021, gives institutions direct ETH exposure w/ Bloomberg index & institutional custody. • ETF Access: Co-sponsor of CI Galaxy ETH ETF (Canada) + Invesco Galaxy ETH Futures ETF (QETH) in U.S. • Strong AUM Growth: ETH-related AUM has ballooned; CI ETF returned ~30.9% YoY, with Galaxy’s ETH suite managing hundreds of millions. DeFi Involvement 🔁 • Token Whale Moves: Galaxy withdrew 1.07M UNI ($18.9M) and 27,722 AAVE (~$10.2M) in 2024 – strategic conviction. • Venture Footprint: Investments in 1inch, DODO, Tokemak, Hashflow and more. • DeFi Index Fund: Tracks top ETH DeFi protocols (e.g. UNI = 40%, AAVE = 18%). • Thesis: Galaxy views DeFi as Ethereum’s killer app – on-chain lending, DEXs, etc. NFT & Web3 Bets 🎮 • $325M Web3 Fund (2021): Invested in top ETH-native assets like Art Blocks, Mythical Games, Genvid. • Candy Digital Co-Founder: Built on ETH sidechain, acquired Fanatics’ stake in 2023. • Immutable, Genvid, Mythical: Major ETH-based metaverse plays. • Core Belief: Younger gens moving from physical → digital, Ethereum is the backbone of this migration. ETH Infra + L2 Focus 🏗️ • Scaling Investments: Galaxy backs Polygon, Celestia – high-conviction bets on ETH L2 and modular tech. • Next-Gen Protocols: Invested in EigenLayer (restaking), ZK tech – supports ETH’s shift to modular scaling. • Dev Tools: Funding Certora (formal verification), Gelato (dApp automation). • Enterprise Rails: Bought GK8, builds infra for ETH tokenization and institutional adoption. ETH-Centric Partnerships 🤝 • BitGo Partnership: Galaxy’s $4.2B staking infra integrated into BitGo’s custody stack (2025). • Fireblocks, Zodia: ETH staking now available via top custodians. • Joint Ventures: Co-led Candy Digital raise w/ ConsenSys Mesh, co-invested in Figment ($50M) staking round. • DAO Interactions: OTC trades w/ DAO treasuries (e.g. UNI, AAVE) signal deep DeFi integration. ETH Derivatives & Trading 🧑‍💼 • Galaxy Trading Desk: 24/7 ETH OTC, 1,300+ counterparties. Provides ETH liquidity for banks like Goldman Sachs. • ETH Futures & ETFs: Helped launch CI Galaxy ETH ETF and Invesco ETH Futures ETF (QETH). • Custom Derivs: Offers structured ETH options, swaps, yield strategies – for institutional risk management. • Market Maker: Galaxy is a top player in CME ETH futures + options – not just holding ETH, trading + yield farming it at scale.