Brief

Bit Digital Extends $100 Million Ethereum-Backed Loan to WhiteFiber

Digital asset firm Bit Digital is leveraging its Ethereum treasury to fund a $100 million growth loan for AI infrastructure provider WhiteFiber, maximizing capital efficiency by outperforming standard ETH staking yields.

Make us preferred on Google

Digital asset firm Bit Digital has originated a $100 million delayed-draw term loan facility to accelerate growth initiatives at WhiteFiber, a high-performance computing (HPC) and artificial intelligence infrastructure provider in which Bit Digital holds a majority stake. The financing agreement contains an option to expand the total pool to $150 million upon mutual agreement.

To preserve its balance sheet strategy, Bit Digital plans to fund capital advances under the facility by drawing against an Ethereum-denominated secured credit line. This structured setup allows the public firm to retain full long-term investment exposure to its underlying ETH treasury assets while capturing a profitable financing spread on the newly created loan asset.

According to Bit Digital CEO Sam Tabar, the inter-company transaction delivers risk-adjusted financial returns for the corporate treasury that comfortably outpace standard Ethereum staking yields. The operational pivot comes in the wake of Bit Digital completely winding down its legacy Bitcoin mining operations in January to prioritize high-margin enterprise AI data centers and active proof-of-stake node validation.

WhiteFiber will deploy the fresh liquidity to bridge project capital needs and finalize the initial buildout phase of its high-performance computing data center hub in Madison, North Carolina. Part of the term loan advance has been syndicated to B. Riley Securities, helping optimize Bit Digital’s ongoing capital allocation strategy.

Disclaimer: CoinScreamer is an independent media brand owned and operated by NuvexMedia LLC, publishing news, research, and market insights on digital assets and related technologies. NuvexMedia LLC invests in and collaborates with companies across the digital asset, blockchain, and technology sectors. These relationships do not influence CoinScreamer’s editorial coverage, and the publication maintains full editorial independence to provide accurate, timely, and objective information. © 2025 NuvexMedia LLC. All rights reserved. This content is for informational purposes only and should not be considered legal, tax, investment, financial, or other professional advice.

DeFi & FinTech, News