Hyperscale Data Ditches Crypto Mining for AI Infrastructure
Hyperscale Data, Inc., which trades on the NYSE American exchange under ticker GPUS, announced that it would be pivoting its operations from cryptocurrency mining to AI infrastructure. This shift was prompted by a 10-year agreement with a California-based neocloud services provider for 20 MW of capacity at its Michigan location.
The company's shares plummeted approximately 17% after the announcement, closing at $0.1984 and hitting an intraday low of $0.1932. This represents a new split-adjusted record low for GPUS.
Hyperscale has been relying on its cryptocurrency reserves to finance the transformation of the Michigan facility, disposing of 830 BTC over the past five weeks and generating around $53 million in proceeds.
The company's Bitcoin holdings have decreased significantly since late July, from approximately 1,006 BTC to around 215 BTC valued at about $16.7 million. This represents a decline of 79%.