Key Takeaways
- • Galaxy Digital secured a $460 million private investment from a major institutional asset manager at $36 per share (12.77 million Class A shares), with closing expected around October 17, 2025, subject to Toronto Stock Exchange approval.
- • The capital fuels expansion of Galaxy's Helios data center in Texas—a former Bitcoin mining site—expected to deliver 133 megawatts of IT capacity by early 2026 and reach full 3.5-gigawatt capacity, positioning it as one of North America's largest AI infrastructure projects.
- • Galaxy has already secured a $1.4 billion loan facility (August 2025) covering approximately 80% of the Helios buildout; the new $460 million equity raise accelerates the remaining buildout and general corporate operations.
- • Under a 15-year CoreWeave partnership, Galaxy will supply AI and high-performance computing infrastructure starting 2026, with CoreWeave committed to 800 megawatts and Galaxy retaining 2.7 gigawatts for additional clients—generating projected annual revenue exceeding $1 billion, totaling ~$15 billion over the contract term.
- • The transaction reflects a broader strategic pivot among crypto-native firms away from Bitcoin mining (depressed by record hashrate reducing reward probability) toward capital-intensive AI data center infrastructure with superior economic returns.
Summary
Galaxy Digital, led by CEO Mike Novogratz, has secured $460 million in private equity investment from one of the world's largest institutional asset managers to accelerate the transformation of its Texas-based Bitcoin mining facility into a large-scale AI data center. The investment comprises 12.77 million Class A shares priced at $36 per share, with transaction closure anticipated around October 17, 2025, pending Toronto Stock Exchange approval. The proceeds are designated for general corporate use and direct expansion of the Helios campus, Galaxy's flagship data center project located in Dickens County, Texas.
The Helios facility represents the core of Galaxy's infrastructure strategy shift. The data center is expected to deliver 133 megawatts of IT capacity by early 2026, with full buildout reaching 3.5 gigawatts of total capacity—positioning it among North America's most significant AI infrastructure assets. This $460 million equity raise builds on Galaxy's August 2025 secured loan facility of $1.4 billion, which funded approximately 80% of the Helios development. Combined, these capital sources demonstrate institutional conviction in the project's commercial viability and Galaxy's ability to execute at scale.
Galaxy has established a strategic 15-year partnership with CoreWeave, an AI cloud infrastructure provider, to monetize the facility's capacity. Under this arrangement, CoreWeave has committed to utilizing 800 megawatts of the platform's output for AI and high-performance computing workloads beginning in 2026, while Galaxy retains 2.7 gigawatts for marketing to additional enterprise clients. The partnership is projected to generate over $1 billion in annual revenue, with cumulative contract value exceeding $15 billion across the 15-year term.
This pivot reflects a structural industry reorientation. Bitcoin mining has faced headwinds from record network hashrate, which reduces individual miner reward probability without corresponding efficiency improvements. In contrast, AI data center infrastructure commands higher per-megawatt economics—estimated between $8 million and $15 million per megawatt versus $700,000 to $1 million for Bitcoin mining hardware—and offers more stable, structurally predictable returns. Galaxy's strategic repositioning exemplifies a broader trend among crypto-native firms reallocating capital and existing infrastructure toward compute-intensive AI services.
The Helios facility represents the core of Galaxy's infrastructure strategy shift. The data center is expected to deliver 133 megawatts of IT capacity by early 2026, with full buildout reaching 3.5 gigawatts of total capacity—positioning it among North America's most significant AI infrastructure assets. This $460 million equity raise builds on Galaxy's August 2025 secured loan facility of $1.4 billion, which funded approximately 80% of the Helios development. Combined, these capital sources demonstrate institutional conviction in the project's commercial viability and Galaxy's ability to execute at scale.
Galaxy has established a strategic 15-year partnership with CoreWeave, an AI cloud infrastructure provider, to monetize the facility's capacity. Under this arrangement, CoreWeave has committed to utilizing 800 megawatts of the platform's output for AI and high-performance computing workloads beginning in 2026, while Galaxy retains 2.7 gigawatts for marketing to additional enterprise clients. The partnership is projected to generate over $1 billion in annual revenue, with cumulative contract value exceeding $15 billion across the 15-year term.
This pivot reflects a structural industry reorientation. Bitcoin mining has faced headwinds from record network hashrate, which reduces individual miner reward probability without corresponding efficiency improvements. In contrast, AI data center infrastructure commands higher per-megawatt economics—estimated between $8 million and $15 million per megawatt versus $700,000 to $1 million for Bitcoin mining hardware—and offers more stable, structurally predictable returns. Galaxy's strategic repositioning exemplifies a broader trend among crypto-native firms reallocating capital and existing infrastructure toward compute-intensive AI services.
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