Hut 8 settles securities class action for $2.35 million, Galaxy strategic invests in digital asset lending platform Digital Prime Technologies

According to Mars Finance News and BBX data, two leading publicly listed companies in the crypto concept sector each completed key historical matters and upgraded their strategic layouts yesterday. The key updates are as follows:

Hut 8 Corp. (Nasdaq: $HUT) officially disclosed on June 23 that the company agreed to pay investors $2.35 million in cash to settle a securities class action lawsuit triggered by the 2023 merger with U.S. Bitcoin Corp (USBTC). The case is being heard by the U.S. District Court for the Southern District of New York, and the plaintiffs are investors who held Hut 8 securities between February 13, 2023, and January 18, 2024. The core allegations are that, during the merger process, the company materially failed to disclose major issues with the infrastructure of its King Mountain bitcoin mining facility in Texas—including energy curtailments and network connectivity failures—thereby constituting a substantive misrepresentation to investors. The case was sparked by a critical report published on January 18, 2024 by the short-selling firm J Capital Research, after which Hut 8’s stock price fell by more than 23% in a single day.

The $2.35 million settlement amount is approximately 19.6% of the plaintiffs’ estimated maximum recoverable damages of $12.08 million, exceeding the historical median settlement ratio for similar securities-law claims involving only the Securities Law. The settlement is still subject to final approval by the court. Hut 8 denies any wrongdoing and legal liability. This settlement eliminates the last major historical legal uncertainty in the company’s AI/HPC data center transformation narrative—allowing the valuation logic for its dual-site projects, River Bend ($7 billion contract) and Beacon Point ($9.8 billion contract), which are scheduled for on-time delivery within the year, to be developed under a cleaner balance sheet backdrop.

Galaxy Digital Inc. (Nasdaq: $GLXY) announced on June 23 that it made a strategic investment in Digital Prime Technologies (a securities lending technology platform). Specific financial terms were not disclosed. This investment is built upon Galaxy’s existing role as a participating party in the Tokenet platform. Tokenet is jointly developed by Digital Prime Technologies and institutional securities lending infrastructure provider EquiLend, and is scheduled to officially launch in May 2026. The platform aims to introduce into the digital asset lending market mature workflows, risk-control mechanisms, and full lifecycle management systems that are proven in the institutional securities lending sector. With this investment, Galaxy upgrades its role from platform participant to equity investor, directly tying the Tokenet platform’s operations to its own institutional lending and trading businesses, forming a “product + balance sheet + equity” three-way synergy.

This move is highly consistent with Galaxy’s overall business strategy: on the basis of stable cash flow generated by CoreWeave’s 15-year AI data center lease (Phase 1 133MW was delivered in April), the company further deepens its institutional digital asset lending infrastructure layout, thereby reducing reliance on a single Bitcoin price beta. On the same day, Galaxy was also listed in institutional research reports as one of the few crypto concept stocks capable of maintaining business resilience during a Bitcoin price downturn cycle. Diversification is regarded as a key reason for its relative decoupling from pure BTC price exposure.