Galaxy Digital’s Investment in XRP
Galaxy Digital is making headlines with its significant investment in XRP, showcasing the firm’s confidence in the cryptocurrency. As per the U.S. Securities and Exchange Commission (SEC) Form 10-Q submitted on August 5, 2025, Galaxy Digital disclosed a strong holding of 15.39 million XRP tokens, which have a market value of approximately $34.4 million and a historical purchase cost of $33.6 million, as recorded up to June 30. XRP has emerged as one of the firm’s major digital asset investments, ranking seventh in the portfolio, which totals $3.56 billion. Other notable holdings in Galaxy’s portfolio include Bitcoin, USDC, Ethereum, Solana, and HYPE, emphasizing the firm’s commitment to digital assets.
Regulatory Challenges and Legal Battles
Galaxy Digital also pointed to ongoing regulatory challenges, especially concerning XRP, which is currently embroiled in a significant legal battle with the SEC. Back in 2020, the SEC initiated a lawsuit against Ripple Labs, alleging that the company conducted $1.3 billion worth of unregistered sales of XRP. This action adversely affected the token’s market capitalization, bringing it down to below $10 billion.
However, a ruling from a U.S. District Court in 2023 concluded that XRP should not be categorized as a security, even though certain institutional transactions were classified as investment contracts.
In January 2025, the SEC announced its intention to appeal, but a settlement in May suggested that they might abandon the case following a $50 million civil penalty.
Investment in Ripple Labs
Furthermore, Galaxy Digital indicated its substantial equity investment in Ripple Labs, further solidifying its stake in the cryptocurrency ecosystem. As of June 30, 2025, Galaxy’s investment in Ripple was valued at $97.3 million, representing a significant portion of its overall investment strategy. This investment, one of only two that accounts for more than 5% of Galaxy’s total investment value, highlights the firm’s strategic focus on the growth and potential of XRP in advancing cross-border payment systems and innovative tokenized financial products.
Conclusion
With such a robust financial commitment, Galaxy Digital is betting on the evolution and regulatory acceptance of the XRP ecosystem as an integral part of the future of finance.
