Galaxy Bahamas, a subsidiary of Mike Novogratz's crypto investment firm, received approval from the Securities Commission of The Bahamas in December for registration as a digital asset business under its Digital Assets and Registered Exchanges Act of 2020. 

Galaxy Bahamas Ltd. will physically operate out of the Bahamas and intends to initially serve as an extension of the company’s trading, custody and money services operation businesses. It will also offer market making and staking services, the latter of which has recently seen increased scrutiny in the U.S.

“In light of the FTX dispute, customers, counterparties and regulators may view operations within the Bahamanian cryptoeconomy as more risky than operations in other jurisdictions,” the firm said in a February filing.