Hut 8 pivots to AI data centers, refinances BTC loan

Hut 8 disclosed that it has converted power and site capacity into AI data centers, reporting $16.8 billion in base-term contracted lease revenue for 597 megawatts across its River Bend and Beacon Point campuses. The company refinanced a $200 million Bitcoin-backed facility and released roughly 3,300 BTC from prior collateral.

Beacon Point represents 352 MW and about $9.8 billion of base-term value, while River Bend covers 245 MW and roughly $7 billion. The leases are structured as triple-net, take-or-pay agreements. River Bend’s base lease term carries a financial backstop from Google.

In the first quarter, Hut 8 reported $71 million of revenue, including $66 million from its Compute segment. The company recorded a $253 million net loss that included about $295 million of primarily unrealized digital-asset losses.

Hut 8’s regulatory filing shows total digital-asset holdings of about 16,332 BTC as of March 31, 2026, split between roughly 9,311 BTC held by Hut 8 and about 7,021 BTC held by consolidated subsidiary American Bitcoin. The filing valued the aggregate holdings near $1.11 billion based on approximately $68,222 per coin.

The refinancing with FalconX is a 364-day Bitcoin-backed facility that reduced the fixed borrowing rate to 7% from 9% and unencumbered about 3,300 BTC. The facility includes limited recourse to pledged BTC, a no-rehypothecation covenant, fixed loan-to-value thresholds and no LTV ratchet tied to Bitcoin price declines. Hut 8 valued the newly unencumbered coins at about $260 million as of May 1, 2026.

River Bend’s campus financing included $3.25 billion of fully amortizing, 16.5-year senior secured notes that the company described as non-recourse to the parent and investment-grade at the project level. Hut 8 reported that loan-to-cost on River Bend rose to roughly 95% under that financing.

Hut 8 noted that AI tenants require continuous uptime, dense power and cooling, robust interconnection and predictable delivery schedules, which differ from the tolerance for interruption in Bitcoin mining. The company warned investors about risks tied to data center construction, financing, power expansion, permitting, supply-chain constraints, technical challenges and market conditions.

The company reported an 8,375 MW development pipeline it plans to convert into built and contracted capacity over time. Hut 8 described its financing mix as a combination of long-term leases, project-level debt and Bitcoin-backed liquidity while noting that projects remain subject to delivery and operating milestones.