Galaxy Digital, founded by Mike Novogratz, is making a bold move to ditch Bitcoin mining and switch to artificial intelligence (AI).
To make the leap, they managed to secure up to $460 million from an unnamed company described as “one of the world’s largest and most respected asset management firms.” If all goes well, that should be enough money to turn Galaxy’s antiquated Texas bitcoin mining operation into a shiny new AI data center.
This deal represents a fairly significant detour from the world of Bitcoin mining. Now, it appears that these companies are restructuring their infrastructure to focus on the high-end computing used for AI processes.
Related: Bitcoin miners are switching to AI and HPC | Report
According to Galaxy’s announcement, the $460 million private investment consists of the purchase of approximately 12.77 million Class A shares at a price of $36 per share.
Of those, 9.03 million shares were new shares issued by the company, and 3.75 million were sold by Galaxy executives, including Novogratz himself.
“Strengthening our balance sheet is essential to efficiently expand Galaxy’s data center business while maintaining the financial flexibility to support future growth.” Novogratz said.
“This significant investment in our company by the world’s largest and most sophisticated institutional investor will support our strategic vision and ability to build leading businesses across digital assets and data centers.”
Funds are expected to be injected into the business by mid-October, pending the usual regulatory approvals. This will be used to strengthen Galaxy’s balance sheet and inject more cash into its Helios data center operations in Texas.
The Helios facility, which Galaxy acquired from Argo Blockchain in 2022, was initially used for Bitcoin mining. However, its profitability has plummeted, especially since the last Bitcoin halving.
Galaxy is now removing its old Bitcoin mining hardware and completely renovating the entire building so it can host the powerful computing gear that powers today’s increasingly popular AI apps.
Once operational, the Helios site is expected to deliver an impressive 133 megawatts of computing power as part of the first phase of a long-term development plan.
However, when fully built out, Helios could host 3.5 gigawatts of capacity, making it one of the largest AI infrastructure projects in North America.
The $460 million investment is the latest in a series of major funding moves that Galaxy has made over the past year. In August 2025, the company secured a $1.4 billion loan covering approximately 80% of the construction costs for the Helios facility.
The financing is key to a 15-year partnership with CoreWeave, a company that provides AI cloud infrastructure. The company already has a contract to receive 800 MW of power from Helios.