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FAIR VALUE MEASUREMENTS
 3 Months Ended
Mar. 31, 2025
Galaxy Digital Holdings, LP  
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]  
FAIR VALUE MEASUREMENTS FAIR VALUE MEASUREMENTS
Recurring Fair Value Measurements
Items measured on a recurring basis at fair value:
As of March 31, 2025
(in thousands)Level 1Level 2Level 3Total
Assets
Digital financial assets$477,899 $36,580 $— $514,479 
Digital intangible assets at fair value
1,611,833 63,581 10,963 1,686,377 
Digital assets loan receivable, net of allowance - Financial assets
— 173,452 — 173,452 
Digital assets receivable18 10 19,642 19,670 
Assets posted as collateral — Digital assets506,634 — 506,634 
Derivative assets120,130 8,223 — 128,353 
Embedded derivative – Collateral payable— 143,027 — 143,027 
Embedded derivative – Digital assets borrowed— 223,469 — 223,469 
Investments(1)
503,356 5,568 391,441 900,365 
$2,713,236 $1,160,544 $422,046 $4,295,826 
Liabilities
Investments sold short(2)
69,358 — — 69,358 
Derivative liabilities81,237 8,465 — 89,702 
Embedded derivative – Digital assets borrowed
— 41,027 — 41,027 
Embedded derivative –Collateral payable— 58,988 — 58,988 
Embedded derivative – Notes payable— — 46,586 46,586 
$150,595 $108,480 $46,586 $305,661 
_______________
(1)Excludes equity securities measured utilizing net asset value as a practical expedient ($315.0 million) and equity securities utilizing the measurement alternative as they are without readily determinable fair values ($66.4 million).
(2)Investments sold short are included in Other current liabilities in the Company’s condensed consolidated interim statements of financial position.
As of December 31, 2024
(in thousands)Level 1Level 2Level 3Total
Assets
Digital financial assets$354,851 $4,814 $— $359,665 
Digital intangible assets at fair value1,929,661 68,239 20,457 2,018,357 
Digital assets loan receivable, net of allowance Financial assets— 393,734 — 393,734 
Digital assets receivable204 24 60,492 60,720 
Assets posted as collateral – Digital assets— 278,527 — 278,527 
Derivative assets188,836 18,817 207,653 
Embedded derivative – Collateral payable— 55,848 — 55,848 
Embedded derivative – Digital assets borrowed— 24,039 — 24,039 
Investments(1)
751,220 — 524,573 1,275,793 
$3,224,772 $844,042 $605,522 $4,674,336 
Liabilities
Investments sold short6,524 — — 6,524 
Derivative liabilities58,155 107,703 165,858 
Embedded derivative – Digital assets borrowed252,635 252,635 
Embedded derivative – Collateral payable161,261 161,261 
Embedded derivative – Notes payable— — 136,192 136,192 
$64,679 $521,599 $136,192 $722,470 
_______________
(1)Excludes equity securities measured utilizing net asset value as a practical expedient of $304.5 million and equity securities utilizing the measurement alternative of $63.2 million as they are without readily determinable fair values.
Nonrecurring Fair Value Measurements
Impairment losses are recognized for Digital intangible assets carried at the lower of cost or impaired value and Property and equipment, net when their carrying amounts exceed fair value. See Note 13 for additional information on impairment of Property and equipment. The carrying values for Digital intangible assets carried at the lower of cost or impaired value were $452.5 million and $550.2 million as of March 31, 2025 and December 31, 2024, respectively. The Company categorized the fair value measurements for Property and equipment, net as Level 3.
The following tables summarize changes in assets and liabilities measured and reported at fair value for which Level 3 inputs have been used to determine fair value for the periods ended March 31, 2025 and December 31, 2024, respectively.
(in thousands)Fair value, Beginning BalancePurchasesSales/DistributionsNet Realized Gain / (Loss)Net Unrealized Gain / (Loss)Transfers in /(out) of Level 3Fair value, Ending Balance
Assets
Digital intangible assets
March 31, 2025
$20,457 $— $— $— $(3,438)$(6,056)$10,963 
December 31, 2024
$68,004 $— $— $— $(17,043)$(30,504)$20,457 
Digital assets receivable
March 31, 2025
$60,492 $500 $— $— $(34,646)$(6,884)$19,462 
December 31, 2024
$20,569 $— $(4,727)$4,724.00 $52,477 $(12,551)$60,492 
Investments
March 31, 2025
$524,573 $3,852 $(104,257)$69,624 $(103,351)$1,000 $391,441 
December 31, 2024
$364,576 $129,188 $(221,564)$117,036 $119,803 $15,534 $524,573 
Embedded derivative - Notes payable
March 31, 2025
$136,192 $— $— $— $(89,606)$— $46,586 
December 31, 2024
$10,472 $93,993 $— $— $31,727 $— $136,192 
Transfers in and out of Level 3 are considered to have occurred at the beginning of the period the transfer occurred. For the period ended March 31, 2025, gross transfers into Level 3 were $1.0 million, gross transfers out of Level 3 were $12.9 million. The transfers into Level 3 for Investments were due to fair value adjustments determined by unobservable market inputs. Transfers out of Level 3 for Digital asset receivables and Digital assets were due to removal of restrictions. For the year ended December 31, 2024, gross transfers into Level 3 were $21.2 million and gross transfers out of Level 3 were $48.7 million. The transfers into Level 3 for Investments were due to fair value adjustments determined by unobservable market inputs. The transfers into Level 3 for Digital asset receivables were due to underlying token launches of contracts held. Transfers out of Level 3 for Investments related to a conversion of a convertible note upon emergence from a bankruptcy during the year. Transfers out of Level 3 for Digital asset receivables and Digital assets were due to removal of restrictions.
The following table presents additional information about valuation methodologies and significant unobservable inputs used for assets and liabilities that are measured and reported at fair value and categorized within Level 3 as of March 31, 2025 and December 31, 2024, respectively:
Financial Instrument
Fair Value at March 31, 2025
(in thousands)
Significant Unobservable InputsRangeWeighted Average
Digital intangible assets$10,963 Marketability discount
15.7% - 39.1%
28.4%
Digital assets receivable$19,642 Marketability discount
2.8% - 61.8%
21.1%
Investments$391,441 Time to liquidity event (years)
0.8 - 5.0
4.1
Annualized equity volatility
70.0% - 90.0%
88.8%
Risk free rate
3.4% - 4.4%
3.9%
Market adjustment discount
30.0% - 90.0%
39.7%
Market adjustment premium
25.0% - 150.0%
100.5%
Marketability discount
25.0% - 40.0%
27.6%
Expected dividend payout ratio
—%
—%
Enterprise value to LTM revenue multiple
2.5x - 16.8x
9.5x
Enterprise value to projected revenue
2.0x - 10.5x
6.2x
Enterprise value to annualized revenue
2.5x - 9.0x
5.8x
Enterprise value to LTM volume
2.8x
2.8x
Enterprise value to ARR
8.0x
8.0x
Price to tangible book value
1.3x
1.3x
Enterprise value to gross profit
6.0x
6.0x
Scenario probability
35.0%
35.0%
Recovery percentage
44.0%
44.0%
Embedded derivative - Notes payable$46,586 Volatility
47.0% - 77.0%
56.2%
Risk free rate
3.8% - 4.0%
3.9%
Time-step (years)
0.004
0.004
Financial Instrument
Fair Value at December 31, 2024 (in thousands)
Significant Unobservable InputsRangeWeighted Average
Digital intangible assets$20,457 Marketability discount
15.9% - 45.2%
32.1%
Digital assets receivable$60,492 Marketability discount
5.5% - 72.8%
35.8%
Investments$524,573 Time to liquidity event (years)
1.0 - 5.0
4.1
Annualized equity volatility
70% - 90%
88.8%
Risk free rate
3.4% - 4.4%
4.2%
Market adjustment discount
30% - 90%
41.0%
Market adjustment premium
25% - 130%
79.6%
Marketability discount
3.5% - 51.8%
26.0%
Expected dividend payout ratio
0% - 0%
0%
Enterprise value to LTM revenue multiple
2.5x - 16.8x
10.8x
Enterprise value to projected revenue multiple
2.0x - 10.5x
7.0x
Enterprise value to annualized revenue
3.5x - 9.0x
6.7x
Enterprise value to LTM volume
3.0x
3.0x
Enterprise Value to ARR
8.5x - 15.8x
10.9x
Price to tangible book value
1.5x
1.5x
Enterprise value to projected EBITDA
9.0x - 14.0x
11.5x
Scenario probability
35.0%
35.0%
Recovery percentage
35.0% - 61.6%
51.5%
Embedded derivative - Notes payable $136,192 Volatility
45.6% - 75.0%
55.4%
Risk free rate
4.2% - 4.4%
4.3%
Time-step (years)
0.004
0.004
Increases and/or decreases in the various unobservable inputs used to determine the Level 3 valuations could result in significantly higher or lower fair value measurements.
Financial Instruments Not Measured at Fair Value
The following table presents the fair value of financial instruments not measured at fair value in the Company’s condensed consolidated interim statements of financial position. This table excludes non-financial assets and liabilities.
As of March 31, 2025
(in thousands)Carrying ValueFair ValueLevel 1Level 2Level 3
Cash and cash equivalents$509,438 $509,438 $509,438 $— $— 
Assets posted as collateral - Cash— — — — — 
Accounts receivable28,864 28,864 28,864 — — 
Loans receivable464,766 464,766 — 464,766 — 
Total Assets
$1,003,068 $1,003,068 $538,302 $464,766 $— 
Accounts payable and accrued liabilities270,468 270,468 270,468 — — 
Notes payable763,798 724,856 — 724,856 — 
Collateral payable — Cash49,418 49,418 — 49,418 — 
Payable to customers — Cash19,288 19,288 — 19,288 — 
Loans payable345,249 345,249 — 345,249 — 
Total Liabilities
$1,448,221 $1,409,279 $270,468 $1,138,811 $— 
As of December 31, 2024
(in thousands)Carrying ValueFair ValueLevel 1Level 2Level 3
Cash and cash equivalents$462,103 $462,103 $462,103 $— $— 
Assets posted as collateral - Cash— — — — — 
Accounts receivable55,279 55,279 55,279 — — 
Loans receivable476,620 476,620 — 476,620 — 
Total Assets
$994,002 $994,002 $517,382 $476,620 $— 
Accounts payable and accrued liabilities281,531 281,531 281,531 — — 
Notes payable845,186 836,402 — 836,402 — 
Collateral payable — Cash74,995 74,995 — 74,995 — 
Payable to customers — Cash19,520 19,520 — 19,520 — 
Loans payable510,718 510,718 — 510,718 — 
Total Liabilities
$1,731,950 $1,723,166 $281,531 $1,441,635 $— 
 FAIR VALUE OPTION
The Company elected the fair value option for certain eligible assets. The following table summarizes the financial instruments for which the fair value option has been elected:
(in thousands)December 31, 2024December 31, 2023
Assets
Digital financial assets$359,664 $74,386 
Investments
558,093 398,529 
Total
$917,757 $472,915 
The fair value option was only elected for investments, within the Investments line item, where the Company was deemed to have significant influence and otherwise would have applied the equity method of accounting.
Realized and unrealized gains / (losses) on financial instruments for which the fair value option has been elected are recorded as Net gain / (loss) on investments and Net gain / (loss) on digital assets in the Company’s consolidated statements of operations. The following table presents the realized and net change in unrealized gains / (losses) on the financial instruments on which the fair value option was elected:
December 31, 2024December 31, 2023December 31, 2022
(in thousands)Realized Gains / (Losses)Net Change in Unrealized Gains / (Losses)Realized Gains / (Losses)Net Change in Unrealized Gains / (Losses)Realized Gains / (Losses)Net Change in Unrealized Gains / (Losses)
Investments$83,441 $130,980 $(833)$88,757 $48,501 $(320,050)
Realized and unrealized gains and (losses) for digital assets classified as financial assets was $0.3 million and $11.8 million for the years ended December 31, 2024 and 2023, respectively, and were not significant for the year ended December 31, 2022.
FAIR VALUE MEASUREMENTS
Recurring fair value measurements
Items measured on a recurring basis at fair value:
As of December 31, 2024
(in thousands)Level 1Level 2Level 3Total
Assets
Digital financial assets$354,851 4,814 $— 359,665 
Digital intangible assets at fair value1,929,661 68,239 20,457 2,018,357 
Digital assets loan receivable, net of allowance — Financial assets
— 393,734 — 393,734 
Digital assets receivable204 24 60,492 60,720 
Assets posted as collateral — Digital assets
— 278,527 — 278,527 
Derivative assets188,836 18,817 207,653 
Embedded derivative — Collateral payable
— 55,848 — 55,848 
Embedded derivative — Digital assets borrowed
— 24,039 — 24,039 
Investments(1)
751,220 — 524,573 1,275,793 
$3,224,772 $844,042 $605,522 $4,674,336 
Liabilities
Investments sold short (2)
6,524 — — 6,524 
Derivative liabilities58,155 107,703 165,858 
Embedded derivative — Digital assets borrowed
252,635 252,635 
Embedded derivative — Collateral payable
161,261 161,261 
Embedded derivative — Notes payable
— — 136,192 136,192 
$64,679 $521,599 $136,192 $722,470 
_______________
(1)Excludes equity securities measured utilizing net asset value as a practical expedient ($304.5 million) and equity securities utilizing the measurement alternative as they are without readily determinable fair values ($63.2 million).
(2)Investments sold short are included in Other current liabilities in the Company’s condensed consolidated interim statements of financial position.
As of December 31, 2023
(in thousands)Level 1Level 2Level 3Total
Assets
Digital financial assets$74,386 $— $— 74,386 
Digital intangible assets at fair value655,473 12,674 68,004 736,151 
Digital assets loan receivable, net of allowance — Financial assets
— 12,000 — 12,000 
Digital assets receivable196 95 20,569 20,860 
Assets posted as collateral — Digital assets
— 316,104 — 316,104 
Derivative assets59,724 113,485 — 173,209 
Embedded derivative — Collateral payable
— 4,244 — 4,244 
Embedded derivative — Digital assets borrowed
— 877 — 877 
Investments(1)
43,568 — 364,576 408,144 
$833,347 $459,479 $453,149 $1,745,975 
Liabilities
Investments sold short25,295 — — 25,295 
Derivative liabilities55,567 105,075 — 160,642 
Embedded derivative — Digital assets borrowed
— 29,874 — 29,874 
Embedded derivative — Collateral payable
— 134,695 — 134,695 
Embedded derivative — Notes payable
— — 10,472 10,472 
$80,862 $269,644 $10,472 $360,978 
_______________
(1)Excludes equity securities measured utilizing net asset value as a practical expedient ($243.3 million) and equity securities utilizing the measurement alternative as they are without readily determinable fair values ($83.7 million).
Nonrecurring fair value measurements
Impairment losses are recognized for Digital intangible assets carried at the lower of cost or impaired value and Property and equipment, net when their carrying amounts exceed fair value. The carrying values for Digital intangible assets carried at the lower of cost or impaired value were $550.2 million and $277.6 million as of December 31, 2024 and 2023, respectively. The Company categorized the fair value measurements for Property and equipment, net as Level 3.
The following tables summarize changes in assets and liabilities measured and reported at fair value for which Level 3 inputs have been used to determine fair value for the years ended December 31, 2024 and 2023 respectively:
(in thousands)
Assets		Fair value, Beginning BalancePurchasesSales/Distributions
Net Realized Gain / (Loss)
Net Unrealized Gain / (Loss)
Transfers in/(out) of Level 3Fair value, Ending Balance
Digital intangible assets
2024
$68,004 $— $— $— $(17,043)$(30,504)$20,457 
2023
$— $— $— $— $65,073 $2,931 $68,004 
Digital assets receivable
2024
$20,569 $— $(4,727)$4,724 $52,477 $(12,551)$60,492 
2023
$16,054 $200 $— $— $17,101 $(12,786)$20,569 
Investments
2024
$364,576 $129,188 $(221,564)$117,036 $119,803 $15,534 $524,573 
2023
$170,526 $30,077 $(2,890)$949 $121,242 $44,672 $364,576 
Embedded derivative - Notes payable
2024
$10,472 $93,993 $— $— $31,727 $— $136,192 
2023
$— $— $— $— $9,604 $868 $10,472 
Transfers in and out of Level 3 are considered to have occurred at the beginning of the period the transfer occurred. For the year ended December 31, 2024, gross transfers into Level 3 were $21.2 million and gross transfers out of Level 3 were $48.7 million. The transfers into Level 3 for Investments were due to fair value adjustments determine by unobservable market inputs. The transfers into Level 3 for Digital asset receivables were due to underlying token launches of contracts held. Transfers out of Level 3 for Investments related to a conversion of a convertible note upon emergence from a bankruptcy during the year. Transfers out of Level 3 for Digital asset receivables and Digital assets were due to removal of restrictions. For the year ended December 31, 2023, gross transfers into Level 3 were $67.3 million and gross transfers out of Level 3 were $31.6 million. Transfers into Level 3 were due to fair value adjustments determined by unobservable market inputs, recategorization and underlying token launches of contracts held. The transfers out of Level 3 were due to removal of restrictions.
The following table presents additional information about valuation methodologies and significant unobservable inputs used for assets and liabilities that are measured and reported at fair value and categorized within Level 3 as of December 31, 2024 and 2023, respectively:
Financial InstrumentFair Value at December 31, 2024
(in thousands)		Significant Unobservable InputsRangeWeighted Average
Digital intangible assets
$20,457 Marketability discount
15.9% - 45.2%
32.1%
Digital assets receivable$60,492 Marketability discount
5.5% - 72.8%
35.8%
Investments$524,573 Time to liquidity event (years)
1.0 - 5.0
4.1
Annualized equity volatility
70.0% - 90.0%
88.8%
Risk free rate
3.4% - 4.4%
4.2%
Market adjustment discount
30.0% - 90.0%
41.0%
Market adjustment premium
25.0% - 130.0%
79.6%
Marketability discount
3.5% - 51.8%
26.0%
Expected dividend payout ratio
0% - 0%
0%
Enterprise value to LTM revenue multiple
2.5x - 16.8x
10.8x
Enterprise value to projected revenue multiple
2.0x - 10.5x
7.0x
Enterprise value to annualized revenue
3.5x - 9.0x
6.7x
Enterprise value to LTM volume
3.0x
3.0x
Enterprise Value to ARR
8.5x - 15.8x
10.9x
Price to tangible book value
1.5x
1.5x
Enterprise value to projected EBITDA
9.0x - 14.0x
11.5x
Scenario probability
35.0%
35.0%
Recovery percentage
35.0% - 61.6%
51.5%
Embedded derivative — Notes payable
$136,192 Volatility
45.6% - 75.0%
55.4%
Risk free rate
4.2% - 4.4%
4.3%
Time-step (years)
0.004
0.004
Financial InstrumentFair Value at December 31, 2023
(in thousands)		Significant Unobservable InputsRangeWeighted Average
Digital intangible assets
$68,004 Marketability discount
3.3% - 59.4%
15.4%
Digital assets receivable$20,569 Marketability discount
6.1% - 74.4%
28.5%
Investments$364,576 Time to liquidity event (years)
3.0 - 5.0
4.6
Annualized equity volatility
90.0%
90.0%
Risk free rate
3.5% - 4.2%
3.9%
Control discount
7.5% - 20.0%
11.1%
Market adjustment discount
25.0% - 65.0%
37.4%
Marketability discount
5.7% - 40.0%
15.4%
Enterprise value to revenue multiple
2.0x- 12.0x
9.4x
Enterprise value to projected revenue multiple
2.0x - 8.0x
4.4x
Enterprise value to volume multiple
5.5x
5.5x
Recovery percentage
120.1%
120.1%
Claims percentage
68.0%
68.0%
Embedded derivative — Notes payable
$10,472 Volatility
67.0%
67.0%
Risk free rate
4.0%
4.0%
Time-step (years)
0.004
0.004
Increases and/or decreases in the various unobservable inputs used to determine the Level 3 valuations could result in significantly higher or lower fair value measurements.
Financial Instruments Not Measured at Fair Value
The following table presents the fair value of financial instruments not measured at fair value in the Company’s consolidated statements of financial position. This table excludes non-financial assets and liabilities.
As of December 31, 2024
(in thousands)Carrying ValueFair ValueLevel 1Level 2Level 3
Cash and cash equivalents$462,103 $462,103 $462,103 $— $— 
Assets posted as collateral — Cash— — — — — 
Accounts receivable55,279 55,279 55,279 — — 
Loans receivable476,620 476,620 — 476,620 — 
Total Assets
$994,002 $994,002 $517,382 $476,620 $— 
Accounts payable and accrued liabilities281,531 281,531 281,531 — — 
Notes payable845,186 836,402 — 836,402 — 
Collateral payable — Cash74,995 74,995 — 74,995 — 
Payable to customers — Cash19,520 19,520 — 19,520 — 
Loans payable510,718 510,718 — 510,718 — 
Total Liabilities
$1,731,950 $1,723,166 $281,531 $1,441,635 $— 
As of December 31, 2023
(in thousands)Carrying ValueFair ValueLevel 1Level 2Level 3
Cash and cash equivalents$316,610 $316,610 $316,610 $— $— 
Assets posted as collateral — Cash2,091 2,091 2,091 — — 
Accounts receivable60,929 60,929 60,929 — — 
Loans receivable387,364 387,364 — 387,364 — 
Total Assets
$766,994 $766,994 $379,630 $387,364 $— 
Accounts payable and accrued liabilities140,376 140,376 140,376 — — 
Notes payable408,053 342,161 — 342,161 — 
Collateral payable — Cash11,367 11,367 — 11,367 — 
Payable to customers — Cash3,442 3,442 — 3,442 — 
Loans payable93,069 93,069 — 93,069 — 
Total Liabilities
$656,307 $590,415 $140,376 $450,039 $—