Galaxy Digital announced that its subsidiary, GalaxyOne Prime NY, received both a BitLicense and a Money Transmission License from the New York State Department of Financial Services (NYDFS) on May 18, 2026. The approvals authorize Galaxy to offer regulated digital-asset trading and custody services to institutional clients across New York State, including hedge funds, registered investment advisers and family offices, via a platform that manages roughly $9 billion in client assets.
Founder and CEO Mike Novogratz said the authorization matters because New York hosts a deep pool of institutional capital and digital assets are increasingly part of institutional allocations. The New York licenses add to Galaxy’s regulatory footprint, which the firm says now exceeds 50 licenses globally.
Galaxy is the second firm to win a BitLicense in 2026; bitcoin payments company Strike received NYDFS approval in March. The BitLicense regime, created in 2015, is one of the strictest U.S. crypto licensing frameworks, requiring capital minimums, continuous compliance oversight and cybersecurity controls. Historically only about 40 companies have been approved under the program. Existing BitLicense holders include major firms such as Coinbase, Robinhood, Circle and PayPal, and Galaxy’s approval signals NYDFS is continuing to admit crypto firms selectively.
Galaxy’s New York approval gives the firm direct regulatory access to institutions that Galaxy research has been tracking for Bitcoin allocations. Galaxy’s research head has been monitoring institutional flows throughout 2026, and the BitLicense enables the firm’s trading and custody services to participate more directly in those flows within a state that concentrates many hedge funds and investment advisers.
The approval also complements Galaxy’s recent investments in data-center capacity and AI infrastructure and follows a year in which the firm reported record results in its Global Markets business. Despite the regulatory win, Galaxy’s shares declined 2.36% to $28.91 in pre-market trading on the day the approval was announced, reflecting broader market weakness.