Galaxy Digital, a financial services company dealing in crypto, has in a major acquisition move purchased substantially all the assets of blockchain node operator CryptoManufaktur LLC. The procurement is a crucial step for Galaxy in scaling its Ethereum assets under stake by over 40%.
Boosting Ethereum Holdings
As per report, the deal drives the value of Galaxy Digital in Ethereum by almost $1 billion to $3.3 billion. According to Zane Glauber, Galaxy head of blockchain infrastructure, the move is strategic to the firm’s desire to expand its infrastructure and staking abilities. It will also boost its capacity to enable enterprise-grade technical support and expertise in the digital asset space.
“Our acquisition of CryptoManufaktur is an important milestone that significantly enhances our position as a leading technical partner to protocols and builders,” Glauber stated.
Analysts are speculating that Galaxy Digital, founded by billionaire Mike Novogratz is positioning itself ahead of the much anticipated Ethereum ETF trading greenlight from the U.S. Securities and Exchange Commission.
Thorsten Behrens, founder of CryptoManufaktur, while speaking on the deal maintained that Galaxy will now serve as the blockchain infrastructure provider of choice and a leading validator. He expressed optimism that going forward, they would be able to scale up their combined processes.
Galaxy Retains Key Talents
The acquisition of CryptoManufaktur comes with certain terms and conditions which were not completely revealed to members of the public. However, a major term of the deal is that Behrens, as well as the three member engineering team will stay.
Essentially, these persons will facilitate the development of Galaxy Digital’s staking and blockchain validator services, not only for investors but its protocols and digital platforms.
Notably, in 2020 when Behrens founded CryptoManufaktur, its purpose was to build infrastructure with the Chainlink oracle project. In time, its services expanded as it started providing automated proof-of-stake node deployment infrastructure on Ethereum.
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