Galaxy Digital, the publicly traded crypto firm led by Michael Novogratz, has made a significant move in the blockchain space with the acquisition of CryptoManufaktur LLC (CMF), a prominent blockchain node operator. This acquisition brings around $1 billion of Ethereum assets under stake, raising Galaxy’s total to $3.3 billion.
CMF, founded in 2020 by Thorsten Behrens, has quickly become a notable player in blockchain infrastructure, initially focusing on the blockchain oracle project Chainlink and later expanding into automated proof-of-stake node deployment on Ethereum. Behrens expressed excitement about the acquisition, stating that it is a testament to the strength of their team and track record in building essential blockchain infrastructure.
Zane Glauber, who heads Galaxy’s blockchain infrastructure team, highlighted the importance of the acquisition in expanding Galaxy’s blockchain infrastructure and staking capabilities. With the acquisition of CMF, Galaxy is positioning itself as a leading technical partner to protocols and builders in the digital asset ecosystem.
The timing of this acquisition is significant, as it comes amidst anticipation of the approval of U.S. spot Ethereum ETFs, which could potentially cause a surge in ETH prices, with some industry experts predicting a rise to $5,000. The crypto space has also seen a notable increase in staking activities, with over 33 million ETH tokens currently staked, representing approximately 27% of the total ETH supply.
Overall, Galaxy’s acquisition of CMF marks a strategic move in expanding its presence in the blockchain infrastructure space and solidifying its position as a key player in the industry.
