Key Takeaways
- • Galaxy Digital completed Phase I of its Helios data center campus in West Texas on July 6, 2026, delivering 133 megawatts of critical IT load to anchor tenant Coreweave, formalizing a $1 billion annual revenue pathway.
- • Coreweave committed to 526 megawatts across three phases under a 15-year lease, representing the full 800 megawatts of gross power currently approved at the site, with Phase I projected to generate $300 million annually or $4.5 billion over the lease term.
- • Galaxy acquired the facility from Argo Blockchain for approximately $65 million in late 2022 after it operated as a bitcoin mining site; the company repurposed immersion cooling tanks and ASIC racks into Tier III N+1 redundant power systems and GPU infrastructure for AI workloads.
- • The pivot from cryptocurrency mining to AI data center operations reflects sector-wide margin compression in bitcoin mining following the April 2024 halving, as rising power costs and increased difficulty made AI computing a more profitable use of electrical capacity.
- • Phase II data halls are scheduled to arrive in 2026, with Galaxy targeting 3.6 gigawatts of total capacity at Helios, positioning the facility as a major player in the growing AI infrastructure market.
Summary
Galaxy Digital, led by Michael Novogratz, marked a significant milestone on July 6, 2026, when it completed Phase I of its Helios data center campus in Dickens County, West Texas, approximately 60 miles from Lubbock. The facility delivered 133 megawatts of critical IT load to Coreweave, a leading AI infrastructure provider, cementing a strategic shift from cryptocurrency mining to artificial intelligence power infrastructure.
The Helios campus originated as a bitcoin mining facility constructed by Argo Blockchain in 2021. Galaxy acquired the asset in late 2022 for roughly $65 million after Argo encountered financial distress during the broader cryptocurrency downturn. The acquisition proved prescient, as mining economics deteriorated significantly following Bitcoin's April 2024 halving event. With production costs rising, mining difficulty increasing, and AI companies willing to pay premium rates for electricity previously dedicated to mining operations, Galaxy recognized an opportunity to repurpose the facility.
Coreweave became the anchor tenant in March 2025, signing a 15-year lease and subsequently exercising two additional expansion options. The company's total commitment spans 526 megawatts of critical IT load across three phases, effectively utilizing the full 800 megawatts of gross power currently approved for the site. Phase I operations commenced rent collection in the second quarter of 2026, with Phase II data halls expected to arrive in 2026. Galaxy targets 3.6 gigawatts of total capacity at Helios upon full buildout.
The infrastructure transformation was comprehensive. Crews removed immersion cooling tanks and ASIC mining rigs, installing instead Tier III N+1 redundant power systems, high-density electrical infrastructure designed for GPU clusters, and more than 100 miles of fiber laterals connecting to long-haul routes. The full 526-megawatt deployment, once fully operational, is projected to generate more than $1 billion in average annual revenue, with Phase I alone expected to produce approximately $300 million per year in lease payments over the 15-year contract term, totaling roughly $4.5 billion.
This transformation exemplifies a broader industry pivot as traditional bitcoin miners face structural headwinds in profitability and increasingly turn toward AI data center development to monetize their installed power capacity and infrastructure assets.
The Helios campus originated as a bitcoin mining facility constructed by Argo Blockchain in 2021. Galaxy acquired the asset in late 2022 for roughly $65 million after Argo encountered financial distress during the broader cryptocurrency downturn. The acquisition proved prescient, as mining economics deteriorated significantly following Bitcoin's April 2024 halving event. With production costs rising, mining difficulty increasing, and AI companies willing to pay premium rates for electricity previously dedicated to mining operations, Galaxy recognized an opportunity to repurpose the facility.
Coreweave became the anchor tenant in March 2025, signing a 15-year lease and subsequently exercising two additional expansion options. The company's total commitment spans 526 megawatts of critical IT load across three phases, effectively utilizing the full 800 megawatts of gross power currently approved for the site. Phase I operations commenced rent collection in the second quarter of 2026, with Phase II data halls expected to arrive in 2026. Galaxy targets 3.6 gigawatts of total capacity at Helios upon full buildout.
The infrastructure transformation was comprehensive. Crews removed immersion cooling tanks and ASIC mining rigs, installing instead Tier III N+1 redundant power systems, high-density electrical infrastructure designed for GPU clusters, and more than 100 miles of fiber laterals connecting to long-haul routes. The full 526-megawatt deployment, once fully operational, is projected to generate more than $1 billion in average annual revenue, with Phase I alone expected to produce approximately $300 million per year in lease payments over the 15-year contract term, totaling roughly $4.5 billion.
This transformation exemplifies a broader industry pivot as traditional bitcoin miners face structural headwinds in profitability and increasingly turn toward AI data center development to monetize their installed power capacity and infrastructure assets.
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