Mike Novogratz's investment management firm Galaxy Digital has reportedly participated in a $50 million funding round for Figment, a crypto staking startup.

Co-ordinate to Bloomberg on Mon, Galaxy Digital joined investors similar Anchorage and Blaze Ventures in a Series B funding round led past Senator Investment Group and Liberty Metropolis Ventures.

The company is now reportedly worth about $500 meg post-obit the fresh injection of investment capital.

Commenting on the funding round, Lorien Gabel, CEO of Figment, said that the funding marks a "new chapter" for the firm.

The announcement also included a quote from Novogratz describing the yield generating potential of proof-of-stake (PoS) every bit an "important catalyst" in incentivizing greater institutional interest in digital avails.

PoS is an alternate consensus protocol to proof-of-work that replaces the computational requirements for transaction validation in the latter with a system based on the validator's stake in the network.

Indeed, Figment reportedly stakes more than $7 billion worth of digital assets for over 100 institutional clients and is looking to upscale its workforce to further expand its business operations.

Related: JPMorgan report: Eth2 could kick-kickoff $40B staking industry by 2025

Novogratz'southward comments near PoS driving institutional adoption of digital avails are already playing out in the crypto space. Companies like European telecom giant Deutsche Telekom are involved in the cryptocurrency staking arena.

As previously reported by Cointelegraph, Deutsche Telekom recently tapped Coinbase Custody as the preferred custodian of its staked Celo (CELO) tokens. Indeed, the company is likewise a validator on the Celo network via its T-Systems MMS subsidiary.

Back in July, Switzerland-licensed digital asset bank Sygnum became the first bank to offer Ethereum 2.0 staking services to institutional clients. Indeed, Ethereum's transition to PoS has been tipped to have profound implications for the emerging "Staking as a Service" market.