Galaxy Digital, founded by Mike Novogratz, is making a bold play to leave its bitcoin mining days behind and switch to Artificial Intelligence (AI).
To make the leap, they’ve managed to secure up to $460 million from an unnamed entity, dubbed as “one of the world’s largest and most respected asset managers,” which should hopefully be enough to transform Galaxy’s outdated Texas bitcoin mining operation into a shiny new AI data center.
The deal marks a pretty significant detour from the world of bitcoin mining. There now seems to be a whole series of these companies retooling their infrastructure so they can focus on high-end computing used for AI processes.
Related: Bitcoin Miners are Switching to AI and HPC | Report
As per Galaxy’s announcement, the $460 million private investment consists of the purchase of about 12.77 million Class A shares at $36 per share.
Of those, 9.03 million shares are brand new, having been issued by the company, and 3.75 million are being sold off by Galaxy executives, including Novogratz himself.
“Strengthening our balance sheet is essential to scaling Galaxy’s data center business efficiently while maintaining the financial flexibility to support future growth,” said Novogratz.
“Having one of the world’s largest and most sophisticated institutional investors make such a significant investment in our company will support our strategic vision and our ability to build leading businesses across digital assets and data centers.”
The cash is expected to be injected into the business by mid-October, pending the usual regulatory approvals. It’ll be used to boost Galaxy’s balance sheet and put even more cash into its Helios data center operation in Texas.
The Helios facility, which Galaxy acquired from Argo Blockchain in 2022, was initially used for bitcoin mining. However, its profitability has taken a nose dive — especially after the last Bitcoin halving.
Now, Galaxy plans to rip out the old bitcoin mining hardware and give the whole place a top-to-bottom renovation so it’s ready to host the heavy-duty computing gear that powers today’s increasingly popular AI apps.
Once it’s up and running, the Helios site is expected to deliver an impressive 133 megawatts of computing capacity, as part of the first phase of its long-term development plan.
At full build out though, Helios could be hosting 3.5 gigawatts of capacity, making it one of the largest AI infrastructure projects in North America.
This $460 million investment is the latest in a string of big financing moves Galaxy has made over the past year. In August 2025, the company landed a $1.4 billion loan that will cover about 80% of the costs for building out the Helios facility.
That loan is key to a 15-year partnership with CoreWeave, a company that provides AI cloud infrastructure – and which has already signed up to take 800 MW of power from Helios.
