Riot Sells 3,778 BTC for $289.5M to Fund AI Data Center Pivot
RIOT•Riot Platforms sold 3,778 Bitcoin for $289.5 million last quarter while mining just 1,473 coins, reducing its treasury to roughly 15,680 BTC, down 18% year-on-year. Proceeds funded a $96 million land purchase at its Rockdale site to build AI data centers, generating $33.2 million revenue under a 10-year AMD lease.
1. Bitcoin Sales and Treasury Reduction
Riot sold 3,778 Bitcoin for $289.5 million last quarter while mining only 1,473 coins, cutting its holdings to approximately 15,680 BTC, down 18% year-on-year. A recent transfer of 500 BTC to NYDIG custody underscores the company’s ongoing strategy of converting reserves into cash.
2. Funding AI Data Center Expansion
Proceeds from Bitcoin sales financed a $96 million land acquisition at Riot’s Rockdale site, establishing the foundation for its AI data center business. The new facilities generated $33.2 million in initial revenue under a 10-year AMD lease, which doubled its power commitment to 50 megawatts last quarter.
3. Mining Costs and Financial Performance
Post-halving margins have tightened, with Riot’s cost to mine each Bitcoin reaching $96,283 last quarter—exceeding market prices. This imbalance contributed to a net loss of about $500 million for the period, prompting a shift toward monetizing Bitcoin reserves.
4. Strategic Pivot and Future Outlook
CEO Jason Les frames the transition to an active, revenue-generating data center operator as an inflection point for Riot. The coming quarters will determine whether AI infrastructure revenues can replace diminishing mining profits and support the company’s long-term growth.
