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- Bit Digital expands WhiteFiber operations through major AI-focused financing agreement.
- Company strengthens Ethereum treasury strategy while reducing Bitcoin mining exposure completely.
- WhiteFiber expansion remains central to Bit Digital’s long-term infrastructure growth strategy.
Bit Digital has announced a new $100 million financing round that will support its AI infrastructure strategy, backing WhiteFiber, its majority-owned computing business. The agreement will benefit WhiteFiber’s growth in the high-performance computing segment, and further bolster Bit Digital’s financial strategy for its overall Ethereum value chain.
The term loan facility with delayed draw allows near-term financing of infrastructure required in WhiteFiber’s AI operations, the company said. Also, the financing agreement has an option to increase the facility to $150m with mutual consent. Partly secured by an Ethereum-backed credit arrangement, advances under the facility could be made, said Bit Digital. With that, the company anticipates to maintain exposure to Ethereum, while adding another income stream from financing it via the structure of the loan.
CEO Sam Tabar said the deal represents a rational capital allocation model that is based on investments in the infrastructure needed for AI and treasury management. Furthermore, he said that the financing model could generate returns higher than the return of conventional staking on Ethereum, and help WhiteFiber’s ongoing expansion efforts.
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WhiteFiber Expansion Becomes Central To Bit Digital’s Growth Strategy
The financial deal underscores Bit Digital’s increasing emphasis on AI infrastructure and enterprise computing. Besides supporting WhiteFiber’s expansion, the deal also reinforces the company’s broader transition away from cryptocurrency mining activities.
In the previous year, Bit Digital announced that it would completely shut down its Bitcoin mining operations in the near future, following its entry into the mining industry two years ago. Tabar said at the time that mining was no longer the most efficient allocation of the company’s capital than opportunities for artificial intelligence infrastructure and strategies for yields.
The restructuring also included rationalizing the company’s digital asset portfolio in favor of Ethereum. This meant that Bit Digital was able to leverage WhiteFiber as a key element of its future plans in the growing AI computing market.
Quarterly Results Show Ongoing Operational Transition
The total revenue for Bit Digital in the first quarter of 2026 amounted to $27.9 million. The number was, however, down 13.6% from the same quarter last year, as the company kept on restructuring a number of its business activities as it progresses on its strategic transition. Bit Digital also recorded a net loss of $146.7 million during the quarter, although the figure improved from the previous quarter’s $185.3 million loss, suggesting moderate financial progress during the company’s transition period.
Meanwhile, Bit Digital’s stock price closed at $2.03 on Wednesday, up 2.01% for the day. Investors remained focused on the company’s ongoing efforts in the field of artificial intelligence, as well as its investment approach in Ethereum-backed funding for its expansion plans. The WhiteFiber financing mechanism now positions Bit Digital further into the booming AI infrastructure space. Additionally, the company is still focusing on computing expansion and treasury strategies in the Ethereum space, while continuing to work towards diminishing dependence on traditional cryptocurrency mining tasks.
Bit Digital’s latest WhiteFiber financing deal reflects the company’s continued effort to strengthen its position within the artificial intelligence infrastructure market. The approach also underscores the firm’s growing emphasis on financing using blockchain technology leveraged with Ethereum and longterm computing expansion opportunities.
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