Hyperscale Data Sells Bitcoin to Fund AI Infrastructure Push
Hyperscale Data, a bitcoin mining company, has sold approximately 100 bitcoin to fund its expansion into artificial intelligence (AI) infrastructure. The funds raised will be used for campus construction and equipment at a new AI data center in Michigan.
The company secured a bitcoin-backed credit facility with a floating rate of about 4.5 to 5.0 percent, which will provide additional funding for the project. This move is notable as it marks the first time a bitcoin mining company has used its holdings to fund AI infrastructure investment.
Hyperscale Data's Michigan campus will support a master services agreement with an unnamed AI infrastructure provider, which includes an initial 20 megawatt (MW) capacity and a 10-year term with two options to extend by 5 years. The company estimates that the contract could generate over $1.2 billion in revenue if fully executed.
The investment aligns with Hyperscale Data's business restructuring, which saw it change its name from Ault Alliance in 2024 while keeping its bitcoin mining business and shifting focus to AI infrastructure. Market reaction was positive, with the company's shares rising over 5 percent on July 30.