Galaxy Digital Provides $40M Staked Solana-Backed Loan for $27.4M Share Buyback
Galaxy Digital extended a $40 million crypto loan secured by staked Solana to Forward Industries, enabling a $27.4 million repurchase of over 6 million FWDI shares that cuts its outstanding stock by 7.4%. The transaction underlines Galaxy’s expanding digital-asset lending business and collateralized financing capabilities.
1. Galaxy Digital Extends $40M Crypto Loan
Galaxy Digital financed Forward Industries with a $40 million loan secured by staked Solana held in Forward’s treasury. The deal underscores Galaxy’s strategy to grow its digital-asset lending portfolio through collateralized lending.
2. Forward Industries Executes $27.4M Share Buyback
Using the loan, Forward repurchased over 6 million shares of its own stock for $27.4 million, reducing its common shares outstanding by 7.4% under its existing $1 billion repurchase authorization.
3. Implications for Galaxy's Lending Business
The transaction highlights Galaxy Digital’s role in providing bespoke financing solutions to digital-asset treasuries and may signal increased demand for secured crypto loans, potentially driving growth in its lending revenues.