Galaxy Digital announced the acquisition of Alluvial Finance, the former development house behind the enterprise‑grade liquid‑staking protocol Liquid Collective, on December 4 2025. The deal makes Galaxy the new development partner for Liquid Collective, giving it full responsibility for building and maintaining the protocol’s software and infrastructure.
Liquid Collective has grown rapidly, tripling its assets on platform to roughly $1 billion in 2025. The partnership positions Galaxy to support Ethereum and Solana staking with liquid tokens that can be used for trading, collateral and other DeFi strategies, thereby deepening its role in a market that has expanded to about $1 billion in assets on platform this year.
Galaxy’s institutional staking footprint has accelerated sharply. As of September 30 2025, the company reported $6.6 billion in assets under stake, up from $3.15 billion on June 30 2025—a 110% increase in three months that underscores the rapid adoption of liquid staking by institutional investors.
The acquisition also dovetails with Galaxy’s broader diversification into AI infrastructure. The company has converted its Helios data‑center campus into a high‑performance AI platform, and the new engineering talent from Alluvial will help accelerate the rollout of AI‑driven services, positioning Galaxy to capture growth in both digital‑asset and AI markets.
Analysts have responded positively to the deal. Jefferies raised its price target to $48 with a Buy rating, while Rosenblatt increased its target to $46, citing Galaxy’s strong performance and expanding revenue streams. Morgan Stanley initiated coverage with an Overweight rating and a $42 target, highlighting the company’s dual focus on blockchain and AI.
Michael Novogratz, founder and CEO of Galaxy, said the acquisition “extends our mission to build the infrastructure institutions need to operate confidently on‑chain. By becoming Liquid Collective’s development partner, we are expanding our liquid‑staking product suite and reinforcing our commitment to institutional‑grade solutions.”
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