Galaxy Digital’s Strategic Shift to AI: A $1.4 Billion Initiative
Galaxy Digital, a leader in digital asset management, is making waves with its recent financial maneuver. The firm has secured a substantial $1.4 billion loan aimed at transforming its Helios Bitcoin mining center into a state-of-the-art artificial intelligence data center. This strategic shift is aligned with a long-term collaboration with CoreWeave Inc., a renowned Graphics Processing Unit (GPU) provider.
Financing the Future: Loan Covers Majority of Data Center Project
On August 15, Galaxy Digital announced the successful acquisition of a $1.4 billion debt facility, which will facilitate the development of its Helios data center campus in West Texas. This financial boost is intended to fund the initial transformation and growth of Helios, enabling it to power AI operations under a comprehensive agreement with CoreWeave.
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The company’s announcement detailed that while Galaxy Digital has already contributed $350 million in equity, the loan will cover about 80% of the construction expenses for the project’s initial phase. This loan, which spans a 36-month term, is secured by all assets related to the first phase of the Helios buildout.
Mike Novogratz, the visionary Founder and CEO of Galaxy Digital, expressed his enthusiasm, stating, “This financing is a significant milestone in our transition of Helios into a cutting-edge AI and HPC data center campus. We are on schedule and thrilled to deliver the initial phase of power to CoreWeave starting early 2026. This project is a crucial step in diversifying Galaxy’s business model, expanding beyond cryptocurrency into the broader AI infrastructure space.”
CoreWeave, initially a Bitcoin mining entity, has evolved into a prominent GPU cloud provider. The company entered into a leasing agreement with Galaxy Digital in August, allowing CoreWeave access to an additional 260 MW of critical IT load for its AI and high-performance computing (HPC) operations.
Projected Revenue Boost: Galaxy Aims for $1 Billion Annually
Galaxy Digital envisions Helios becoming one of the world’s largest and most sophisticated AI data center campuses. At full capacity, Helios is expected to support up to 3.5 GW of power. With CoreWeave leveraging Helios’s infrastructure for its AI and HPC activities, Galaxy Digital anticipates an annual return exceeding $1 billion over the agreement’s 15-year duration. This could potentially result in $15 billion in revenue by the end of its contract with CoreWeave.
As of the latest market close, Galaxy Digital Inc.’s stock (GLXY) was valued at approximately $26.09, marking a decline of over 8% from the previous day.
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