Key Highlights
- Bitdeer sold all its corporate Bitcoin holdings, reducing its treasury to 0 BTC.
- The company is raising $300 million through a convertible note to fund data centers, AI cloud, and mining hardware.
- The Bitcoin mining industry is shifting toward AI and data-center operations for new revenue streams.
Bitcoin mining company Bitdeer has sold all of its Bitcoin holdings, leaving its treasury at zero, according to the company’s latest update. The company sold both new Bitcoin it mined and coins it already had. This is not very common for mining companies, which usually keep some Bitcoin to benefit from price changes.
In the weekly report, Bitdeer said its “pure holdings,” which do not include customer deposits, have fallen to 0 BTC. During the period, the company mined 189.8 BTC and sold all of it. On top of that, it sold 943.1 BTC from its previous treasury. In its update on Feb. 13, the company still held 943.1 BTC, selling only a part of the new coins it mined that week.
Most Bitcoin miners sell some of their coins to pay for electricity, equipment, and hosting costs. They usually keep some in their treasury to gain if Bitcoin’s price goes up. But fully selling all reserves, as Bitdeer did, is rare.
At the same time, the company recently announced it plans to raise $300 million through a convertible senior note. The company can increase the offer by another $45 million. These notes, due in 2032, can later be changed into company stock, cash, or a mix of both. Bitdeer said the money will be used for “data center expansion, AI cloud growth, mining hardware development, and general corporate needs.”
After this announcement, Bitdeer’s shares dropped sharply. At the time of writing, the share is trading for $7.78, down 2.02% in the last 24 hours, according to Yahoo.
Mining sector shift toward AI and data centers
Bitdeer was founded by Jihan Wu in 2013. The company was officially listed as an independent entity in 2021. Over the years, the company has been expanding its self mining operations, as demand for mining hardware reduced. Instead of selling the machines, Bitdeer is using them to mine Bitcoin itself.
Meanwhile, these reports appear at a time when more mining firms are starting to combine Bitcoin mining with artificial intelligence (AI) and cloud services. After the 2024 Bitcoin halving, mining became less profitable, and some miners are finding other ways to earn money.
On Friday, MARA Holdings bought most of French computing company Exaion. MARA France now owns 64% of Exaion, while energy company EDF keeps a small part and remains a customer.
Other companies, like HIVE Digital Technologies, Hut 8, TeraWulf, and IREN, are changing some of their mining facilities into AI and cloud data centers. CoreWeave has also gone fully into AI infrastructure.
Also Read: UAE Royal Group’s Bitcoin Mining Activity Brings Them 6,782 BTC So Far
