Galaxy Digital Secures $1.4 Billion Loan to Transform Helios Mining Facility into AI Data Center

What's Happening?

Galaxy Digital has obtained a $1.4 billion loan to convert its Helios Bitcoin mining center into an artificial intelligence data center. This strategic move is part of a long-term agreement with CoreWeave Inc., a GPU provider. The loan will cover approximately 80% of the construction costs for the first phase of the Helios data center project in West Texas. Galaxy Digital has already contributed $350 million in equity for the project. The transformation aims to provide power for AI operations, with the first phase expected to deliver power to CoreWeave by early 2026. The Helios campus is projected to support up to 3.5 GW of power at full buildout, making it one of the largest AI data center campuses globally.

Why It's Important?

This development marks a significant shift for Galaxy Digital as it diversifies its business model beyond cryptocurrency into AI infrastructure. The partnership with CoreWeave is expected to generate over $1 billion in annual revenue, totaling $15 billion over the 15-year agreement. This move positions Galaxy Digital to capitalize on the growing demand for AI and high-performance computing (HPC) capabilities. The expansion into AI infrastructure could enhance Galaxy's market position and financial stability, offering substantial growth opportunities in the tech sector.

What's Next?

Galaxy Digital plans to continue the development of the Helios data center, with the first phase of power delivery to CoreWeave scheduled for early 2026. The company aims to complete the full buildout of the Helios campus, supporting up to 3.5 GW of power. As the project progresses, Galaxy Digital may explore further partnerships and expansions in the AI and HPC sectors, potentially influencing market dynamics and attracting additional investment.

Beyond the Headlines

The transformation of Helios into an AI data center reflects broader industry trends where companies are repurposing existing infrastructure to meet the rising demand for AI capabilities. This shift highlights the evolving landscape of digital asset management firms as they adapt to technological advancements and diversify their operations. The project also underscores the importance of strategic partnerships in driving innovation and growth in the tech industry.