Performance & Strategic Missteps
1. Recent Losses and Market Underperformance
Galaxy Digital, the crypto investment firm Novogratz leads, reported a significant Q4 2025 loss of around $482 million, driven by digital asset price declines — and posted an annual net loss too, despite some operational profitability in adjusted terms. �
CoinGape
Historically, the firm has posted large quarterly and annual losses (e.g., half-billion-plus losses in past periods), illustrating volatility in investment results tied to crypto price cycles. �
thedinarian.locals.com
2. Major Bets That Didn’t Pay Off
One of Novogratz’s most notable and criticized positions was a big bet on Terra/LUNA, which collapsed spectacularly in 2022. His association with this investment — even getting a LUNA tattoo — became symbolic of misjudged optimism. �
Forbes
Galaxy also faced legal pressure over its handling of LUNA holdings, agreeing to a roughly $200 million settlement with the New York Attorney General over allegations related to how the firm traded and promoted LUNA before its crash. �