The centuries-old musical artifact was
tokenized using proprietary software developed by GK8, a Galaxy
subsidiary. This marks a significant development in the application
of blockchain technology to unlock the value of unique real-world
assets.
NEW
YORK, June 4, 2024 /CNW/ - Galaxy Digital
Holdings Ltd. (TSX: GLXY) ("Galaxy") today announced the
tokenization of "Empress Caterina," the 1708 Stradivarius violin
owned by Yat Siu, the Co-Founder and
Executive Chairman of Animoca Brands. The 1708 Stradivarius,
crafted by preeminent Italian violin maker Antonio Stradivari and
valued at approximately $9 million,
boasts a rich history, having been owned by European royalty and
nobility, including Catherine the Great, Empress of Russia. The tokenization of this iconic
musical instrument, celebrated for its unmatched craftsmanship and
storied provenance, marks a significant advancement in the
application of blockchain technology to unlock the value of unique
real-world assets.
Through tokenization, Galaxy is revolutionizing the way assets
like priceless art, real estate, historical artifacts, and other
real-world assets are perceived and utilized in the financial
realm. This process enables the conversion of physical assets into
digital tokens, significantly enhancing liquidity and providing a
pathway for owners to realize the economic value of their holdings
without necessitating the sale of the asset itself. Mr. Siu, who
acquired the 1708 Stradivarius in 2023, is utilizing the tokenized
violin as collateral for financing facilitated by Galaxy's Global
Markets business.
"By tokenizing this Stradivarius violin, we are not just
preserving the legacy of one of the world's most precious musical
instruments, but we are also setting a precedent for how the latent
value of real-world assets can be accessed and utilized," said
Michael Novogratz, CEO and Founder
of Galaxy. "By starting with high-end assets like this violin,
we're creating a process that will transform how a whole range of
assets are managed, valued, and traded in a digital economy."
Galaxy tokenized the 1708 Stradivarius through GK8, a wholly
owned subsidiary of Galaxy and a leading enterprise-grade
blockchain custody and monetization platform. By utilizing GK8's
proprietary Tokenization Wizard tool, an easy-to-navigate
application that guides users through the process of securing
traditional assets in the form of digital tokens, Galaxy
successfully tokenized the 1708 Stradivarius on the
Ethereum blockchain, minting a
non-fungible token ("NFT") publicly recorded on
OpenSea. The Empress Caterina 1708 Stradivarius violin NFT was
created by GK8 exclusively for the financing transaction between
Mr. Sui and Galaxy Global Markets, and will not be available to
investors in any secondary market or public offering.
"As a technologist with a background in classical music, this is
a very special moment for me," said Mr. Siu. "The 1708 Empress
Caterina Stradivarius violin is the first instrument of such
storied origin and illustrious provenance to undergo tokenization.
I am thrilled to help trailblaze this new economic model for unique
assets while at the same time preserving and sharing not just a
very rare and precious instrument, but also a piece of
history."
Galaxy's Investment Banking's Digital Labs team led the
tokenization process, while GK8 provided the technology to tokenize
the violin. For financial institutions or high-net-worth
individuals interested in learning more about Galaxy and GK8's
tokenization capabilities, please visit here.
About Galaxy
Galaxy (TSX: GLXY) is a digital asset and blockchain leader
providing access to the growing digital economy. We serve a
diversified client base, including institutions, startups, and
qualified individuals. Since 2018, Galaxy has been building a
holistic financial platform spanning three complementary operating
businesses: Global Markets, Asset Management, and Digital
Infrastructure Solutions. Our offerings include, amongst others,
trading, lending, strategic advisory services, institutional-grade
investment solutions, proprietary bitcoin mining and
hosting services, network validator services, and the development
of enterprise custodial technology. The company is headquartered in
New York City, with global offices
across North America, Europe, and Asia. Additional information about Galaxy's
businesses and products is available on www.galaxy.com.
Disclaimers
The TSX has neither approved nor disapproved the contents of
this press release.
CAUTION ABOUT FORWARD-LOOKING
STATEMENTS
This release contains certain forward-looking information and
forward-looking statements, as defined in applicable securities
laws (collectively referred to herein as "forward-looking
statements"). These forward-looking statements relate to
tokenization and the tokenization wizard. All statements other than
statements of historical fact are forward-looking statements.
Often, but not always, forward-looking statements can be identified
by the use of words such as "plans", "expects", "budget",
"scheduled", "estimates", "continues", "forecasts", "projects",
"predicts", "intends", "anticipates" or "believes", "seeks" or
variations of, or the negatives of, such words and phrases, or
state that certain actions, events or results "may", "could",
"would", "should", "might" or "will" be taken, occur or be
achieved. The forward-looking statements contained in this release
are based on our current expectations and beliefs concerning future
developments and their potential effects on us taking into account
information currently available to us. There can be no assurance
that future developments affecting us will be those that we have
anticipated. Forward-looking statements involve known and unknown
risks uncertainties and other factors that may cause actual results
to differ materially from those anticipated in such forward-looking
statements. Inherent in forward-looking statements are risks,
uncertainties and other factors beyond the Company's ability to
predict or control. Forward-looking statements are subject to the
risk that tokenization and the tokenization wizard do not perform
as anticipated. They are also subject to the risks described in the
Risk Factors section of the Annual Information Form ("AIF") dated
March 26, 2024 of Galaxy Digital
Holdings Ltd. Factors that could cause outcomes to differ
materially from those described in such forward-looking statements
include, but are not limited to, global regulatory developments; a
decline in the digital asset market or general economic conditions;
a delay or failure in developing digital asset solutions and
products; and changes in applicable law or regulation. Readers are
cautioned that such risk factors, uncertainties and other factors
are not exhaustive. Actual results and developments are likely to
differ, and may differ materially, from those expressed or implied
by the forward-looking statements in this release. The
forward-looking statements in this release are applicable only as
of the date of this release or as of the date specified in the
relevant forward-looking statement and the Company does not intend,
and does not assume any obligation, to update these forward-looking
statements, except as required by applicable securities laws.
Investors are cautioned that forward-looking statements are not
guarantees of future performance and are inherently uncertain.
Accordingly, investors are cautioned not to put undue reliance on
forward-looking statements.
SOURCE Galaxy Digital Holdings Ltd.