Galaxy Digital Conference Call Summary Company Overview - **Company**: Galaxy Digital (NasdaqGS:GLXY) - **Date**: February 12, 2026 - **Speakers**: CEO Michael Novogratz, CFO Tony Paquette Key Points Industry Context - The current state of the cryptocurrency market is described as a bear market, with Bitcoin trading below all moving averages and facing more sellers than buyers [3][4] - Bitcoin is expected to stabilize in the range of $60,000 to $80,000 until a new narrative emerges to excite investors [4][5] - The market structure bill is anticipated to pass, which could positively impact Bitcoin [5] Company Performance and Strategy - Galaxy Digital ended the quarter with $3 billion in equity capital, including $2.6 billion in cash and stablecoins, having raised over $2 billion in 2025 [11][12] - The company is committed to a $200 million stock buyback program, indicating confidence in its stock valuation [8][14] - Galaxy is actively engaged in building infrastructure in Texas, with a focus on a significant data center business [12][13] Data Center Business - Galaxy has been awarded an additional 830 MW of power in Texas, which is expected to enhance its data center capacity [13][14] - The company is exploring partnerships for long-term leases on the new power capacity, with expectations of announcements in the near future [17][18] - The data center business is projected to ramp up significantly, with expectations of cash flow from the new capacity by 2029 [25][39] Competitive Landscape - Galaxy acknowledges competition from other companies in the data center space but emphasizes its strong balance sheet and capital markets team [36][39] - The company is focused on finding strategic opportunities and partnerships to grow its data center business [36][39] Future Outlook - Galaxy's leadership expresses optimism about the future, despite current market challenges, and believes in the long-term potential of both the cryptocurrency and data center businesses [8][9][39] - The company is considering the implications of its dual listing on the TSX and potential delisting, with over 90% of trading volume now occurring on NASDAQ [10][65][66] Tax Considerations - Galaxy's investment in Helios is in a Qualified Opportunity Zone, which provides distinct tax benefits [64] - The company is focused on maximizing shareholder value while considering tax implications in its strategic decisions [64] Miscellaneous - Galaxy is not currently considering off-grid solutions for its data centers, preferring to remain connected to the grid for operational efficiency [41] - The leadership is monitoring developments in the cryptocurrency market and macroeconomic conditions, including the impact of the new Fed chair on liquidity and interest rates [84][85] Conclusion Galaxy Digital is navigating a challenging cryptocurrency market while positioning itself for future growth through strategic investments in data centers and infrastructure. The company remains optimistic about its long-term prospects and is actively managing its capital structure to enhance shareholder value.