Bitcoin News Today: Galaxy's $460M Shift: From Bitcoin to AI Powerhouses

Galaxy Digital Inc. (Nasdaq: GLXY) has secured a $460 million strategic investment from a leading global asset management firm, marking a pivotal step in its transition from cryptocurrency mining to high-performance computing (HPC) and artificial intelligence (AI) infrastructure. The private placement involves the issuance of 9,027,778 new shares and the sale of 3,750,000 shares by executives, including founder and CEO Mike Novogratz, at $36 per share-a 8.5% discount to the company's closing price on October 10. Proceeds will fund the development of the Helios data center campus in Texas, which is on track to deliver 133 megawatts of critical IT load by mid-2026 under Phase One of its expansion.

The investment, which requires Toronto Stock Exchange approval and is expected to close by October 17, underscores institutional confidence in Galaxy's pivot to AI. Novogratz emphasized the move strengthens the company's balance sheet, enabling scalable growth in both digital assets and data centers. "Having one of the world's largest and most sophisticated institutional investors back our vision will accelerate our ability to build leading businesses in AI and HPC," he stated.

Galaxy's Helios campus, initially developed for Bitcoin mining, has been repositioned to serve AI workloads following a $1.4 billion loan facility secured in August. The site, located in West Texas, will expand to 3.5 gigawatts of total capacity, with CoreWeave Inc.-a major AI cloud provider-committing to 800 megawatts under a 15-year lease. This partnership is projected to generate over $1 billion annually in revenue for Galaxy, with potential total lifetime earnings exceeding $15 billion.

The shift reflects a broader industry trend as crypto firms repurpose infrastructure to meet surging demand for AI computing power. CoreWeave itself recently acquired Core Scientific, a former Bitcoin miner, in a $9 billion all-stock deal to consolidate power-rich data center assets. Analysts note that AI's insatiable appetite for energy and computational resources has made former crypto operations attractive targets, given their existing infrastructure and access to low-cost power.

Market reactions to Galaxy's investment were mixed. Shares rose 3% in after-hours trading following the announcement but had fallen 6.7% by Friday's close. The stock's volatility highlights investor skepticism about the long-term viability of AI infrastructure projects amid fierce competition for power and capital. Galaxy plans to release third-quarter financial results on October 21 and will host a conference call to detail progress.

The Helios project is part of a larger wave of data center development in Texas, where companies like Fermi America and Crusoe Energy are also vying for dominance in the AI-energy nexus. Galaxy's ability to execute its timeline and secure additional power capacity will be critical, as 40% of existing AI data centers are projected to reach power limits by 2027, according to Gartner.

[1] Galaxy Digital Holdings Ltd. - Galaxy Announces $460 Million Strategic Investment from a Leading Asset Management Firm (https://investor.galaxy.com/news/news-details/2025/Galaxy-Announces-460-Million-Strategic-Investment-from-a-Leading-Asset-Management-Firm/default.aspx)

[2] Galaxy Digital Lands $460M Investment as Crypto Firm Pivots to AI Data Centers (https://coincentral.com/galaxy-digital-lands-460m-investment-as-crypto-firm-pivots-to-ai-data-centers/)

[5] Galaxy Digital raised $460 million for Texas AI data center – 12.77 ... (https://holder.io/news/galaxy-digital-460m-texas-ai-center-helios-coreweave-deal/)

[6] Galaxy Digital Secures $1.4B to Fund First Phase of Helios AI Data ... (https://constructionreviewonline.com/news/galaxy-digital-secures-1-4b-to-fund-first-phase-of-helios-ai-data-center-in-texas/)

[8] CoreWeave to acquire Core Scientific in $9 billion all-stock deal (https://www.cnbc.com/2025/07/07/coreweave-to-acquire-core-scientific-in-9-billion-all-stock-deal.html?msockid=38109f5f793e6d700d9089dd785a6cfd)

[9] From crypto to AI: What CoreWeave's acquisition says ... (https://www.latitudemedia.com/news/from-crypto-to-ai-what-coreweaves-acquisition-says-about-the-markets-boom/)

[10] CoreWeave's $9 billion acquisition of Core Scientific ... (https://fortune.com/crypto/2025/07/09/coreweaves-9-billion-acquisition-of-core-scientific-gives-an-ai-roadmap-for-struggling-bitcoin-miners/)